Corporate spending will drive growth in 2006!

[Jack Haddad]

Folks,

The Business Roundtable, which represents companies that account for 4 trillion in sales, reported that its CEO Economic Outlook Index rebounded to its second highest level since the survey began in 2002. The CEOs polled from 117 companies see broad economic strength heading into 2006. They report that capital spending plans continue to rise and that employment expectations are near their all time high.

Furthermore, Institute for Supply Management's Semiannual Outlook Survey shows upbeat expectations for capital spending among both manufacturers and non-manufacturers. Factories expect to lift their plant equipment outlays by 9% in 2006, while service-sector companies plan to bump up their spending by 11%.

Last but not least, corporate debt is the most manageable in years. While liabilities have increased by 242 billion, total assets have grown by more than 10 times that amount-- 2.5 trillion! Also, credit-market debt stood at only 45.5% of net worth in the 3rd Quarter, the lowest ratio in 18 years.

Position yourselves , ladies and Gentlemen. 2006 will be much better than 2005. I'll be posting an article on the best sectors for 2006.

[MDZ]

Jack,
I have to be honest, I never even knew there was a such thing as the business roundtable, that part was really interesting to me. And at 4 trillion, that is almost half of our economy, am I right? If so, that is a huge force right there.
I also found it interesting that you are saying '06 will be much better than '05. I live in Grand Rapids, Michigan. Here we are having a lot of lay offs from manufacturing jobs and such. All you hear from the local news is doom and gloom, but I feel that there is a good economy out there, it just might not be our local one at this time.
I am looking forward to hearing what you have to say about the sectors here, and I don't think that I have talked to you before, so, "Hello!"

Good Luck With Everything!

Mark