What Fed Chair Powell’s address means for manufacturing
Today, Federal Reserve Chair Jerome Powell gave the most concrete signal yet that interest rate cuts are on the horizon at his Jackson Hole press conference. The outlook is promising for manufacturers and those in the industry closely watching the developments and anticipating IMTS 2024 – The International Manufacturing Technology Show.
Christopher Chidzik
“The increased likelihood of a September rate cut after Fed Chair Jerome Powell’s Jackson Hole address will likely boost manufacturing technology orders through the remainder of 2024, further amplifying the residual effects of an IMTS show year,” says Christopher Chidzik, principal economist at AMT – The Association For Manufacturing Technology. “With capacity utilization rates remaining at historically elevated levels in industrial sectors, additional investment in capital equipment will be necessary for manufacturers to address any sudden spikes in demand without a return of supply-side inflationary pressures.”
