By James Chessen, ABA chief economist WASHINGTON — “Strong loan growth, diversified revenue streams and a continued improvement in asset quality were the hallmarks of a very strong second quarter for America’s banking industry. The tremendous across-the-board increase in lending was the single biggest driver of higher bank earnings. Steadily improving asset quality and consistently
New orders for manufactured goods increased for the second consecutive month, rising 0.4 percent to $482.0 billion, following a 2.2 percent increase in July. New orders for manufactured durable goods grew 2.2 percent to $241.7 billion. New orders for transportation equipment led the increase, growing 5.5 percent to $84.0 billion, as orders for ships and
According to the ADP National Employment Report, the non-farm private sector added 190,000 jobs in August, up from 177,000 in July. Both the goods- and service-providing sectors saw stronger job growth last month. Mark Zandi, chief economist of Moody’s Analytics, said, “Recent global financial market turmoil has not slowed the U.S. job market, at least
The ISM Manufacturing Index fell to 51.1 points in August – down 1.6 from July’s reading. The manufacturing sector is still growing, as readings above 50 indicate expansion. Of the 18 component industries, 10 reported growth in August, down from 11 in July. Respondents noted modest-to-strong growth due to lower prices for raw materials, but
Construction spending grew 0.7 percent in July to $1,083.4 billion (SAAR). June spending was revised up from $1,064.6 to $1,075.9 billion, meaning 0.7 percent growth in June as well. Construction spending during the first 7 months of 2015 amounted to $583.2 billion, 9.3 percent higher than in the first 7 months of 2014. Total private
Consumer confidence fell to 91.9 in August, down 1.2 points from the previous month according to the University of Michigan Consumer Sentiment Index. The index is currently 11.4 percent higher than in August of 2014, but recent volatility in the stock market may affect sentiment in the near future. “The Black Mondays of October 17,
Personal income increased $67.1 billion, or 0.4 percent, in July, according to the Bureau of Economic Analysis, the same pace as in June. Personal consumption expenditures (PCE) increased $37.4 billion, or 0.3 percent, also the same as in June. Disposable personal income – personal income less taxes – increased 0.4 percent, after gaining 0.2 percent
Real GDP for the second quarter grew at an annual rate of 3.7 percent, according to the Bureau of Economic Analysis’s second estimate. This is an upward revision from the initial second quarter estimate of 2.3 percent, and well above the first quarter’s rate of 0.6 percent. The acceleration in growth reflected acceleration in personal
New orders for manufactured durable goods increased 2.0 percent to $241.1 billion in July, according to the U.S. Census Bureau. The July increase followed a 4.1 percent increase in June. The majority of the increase can be attributed to a 4.7 percent gain in new orders for transportation equipment. Excluding transportation, new orders increased 0.6
Consumer confidence rebounded in August after July’s decline, rising 10.5 points on the month to 101.5, according to The Conference Board’s Consumer Confidence Index. The Present Situation Index – a measure of respondents’ appraisal of current business and employment conditions, grew 11.1 points to 115.1 in August, while the Expectations Index – a measure of