The nonmetallic mineral products industry leading indexincreased to 252.3 in July from 249.5 in June, its 6-monthsmoothed growth rate increased to 3.3% in July from 1.3% inJune. The 6-month smoothed growth rate is a compound annualrate that measures the near-term trend.
After declining from November 2015 through March 2016, theleading index growth rate has been above the threshold (+1.0%)that normally suggests an increase in industry activity for fourconsecutive months. In June, the average weekly hours(nonmetallic mineral products) [0.5] and the S&P stock priceindex (building products companies) [0.6] made the two largestpositive contributions to the index.
The nonmetallic mineral products industry coincident index,which measures current industry activity, increased to 145.5 inJuly from a revised 144.0 in June. Its 6-month smoothed growthrate increased to 3.2% in July from a revised 2.0% in June. Thecoincident index growth rate had declined February throughJune; the growth rate in July halted the trend. Nevertheless the growth rate of the coincident index has been above the threshold(+1.0%) that normally suggests an increase in industry activitysince May 2015. Total employee hours [0.5] and the industrialproduction index (nonmetallic mineral products) [0.4] made thetwo largest positive contributions to the coincident index. There were no negative contributions to the coincident indexin July.
Adapted from press release by Rebecca Bowden