Sales of new Machine Tools (blue line) bumped up in June.
Apparently they adjust this data but don’t make mention of revisions. The graphical representation through May, while still weak, is different from the last release per this post.
Again, my contact’s input…
“Just an update for you, some disturbing news has leaked out this week. Machine tool builders have put out blow out list to all sales person’s in the USA, not sure if world wide. Mori Seiki list has 600 to 700 machines on it WOW!!! never have i heard of such a huge list by any one Builder. Not sure what they see coming but it can’t be good.”
What we should be clear on is that yes, a blow out indicates that the builders are over inventoried and not feeling sanguine about the manufacturing economy. But a blow out can also bump the sales data. The above data are units sold, not revenue or profitability of units sold.
As also mentioned in that post, when big builders start blowin’ ’em out they are trying to move inventory at all costs, often selling below what is currently perceived as fair market value for used equipment. Demand is declining (ref. yesterday’s post on Fanuc) for various reasons and from various sources, but the sales figures in ‘units sold’ could actually increase in the short-term as everybody gets with the zero-down, near-zero % and slashed pricing regime.
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