Optimism for Economic Recovery Dwindles

摘要

Although it appears electronics distribution sales hit bottom in the first quarter and are expected to moderately increase sequentially in the second quarter, the strength and magnitude of the upturn is clearly much less than most industry observers had hoped. In fact most in the technology supply chain are less optimistic about the near-term outlook than they were a few months ago. The SWS Technology Supply Chain Confidence Index suggests that executives across the industry became less optimistic about the near-term outlook in June than they were in April and May. The index recently peaked at 1.64 in April and fell to 1.41 in June. A reading of 1.0 indicates 50 percent of participants expect business to improve sequentially. Since the reading is still above 1.0, a majority of the survey respondents are still optimistic about near-term business trends, but the percentage of respondents that expect a positive trend has declined.