Manufacturing – What’s Up with That?!

The mayhem that is manifesting in the manufacturing sector brings that familiar Saturday Night Live (SNL) skit to mind, What’s Up with That?! Between this week’s reported ISM data and Factory Orders, it’s no longer a forecast to say that manufacturing is missing something, unlike the skit. And given that China, India and the United Kingdom all reported less expansion in their manufacturing bases this week as well, I must say, what’s up with that?!

Our founder earned clients a 23% average annual return over five years as a stock analyst on Wall Street. "The Greek" has written for institutional newsletters, Businessweek, Real Money, Seeking Alpha and others, while also appearing across TV and radio. While writing for Wall Street Greek, Mr. Kaminis presciently warned of the financial crisis.

Relative Tickers: NYSE: BA, NYSE: RTN, NYSE: DGI, NYSE: GY, NYSE: GD, NYSE: GR, NYSE: NOC, NYSE: HON, NYSE: LMT, NYSE: COL, NYSE: LLL, NYSE: ERJ, Nasdaq: FLIR, Nasdaq: BEAV, NYSE: TDG, NYSE: SPR, NYSE: CAE, NYSE: ATK, NYSE: HXL, NYSE: TGI, NYSE: ESL, NYSE: MOG-A, NYSE: HEI, NYSE: TDY, NYSE: CW, Nasdaq: CVCO, NYSE: SKY, Nasdaq: NOBH, Nasdaq: PHHM, NYSE: MHK, Nasdaq: IFSIA, NYSE: AIN, NYSE: UFI, NYSE: ITW, NYSE: TYC, NYSE: CMI, NYSE: KUB, NYSE: IR, NYSE: DOV, NYSE: ITT, NYSE: FLS, NYSE: PLL, NYSE: DRC, NYSE: SPW, NYSE: GDI, NYSE: IEX, Nasdaq: NDSN, NYSE: GGG, NYSE: ATU, Nasdaq: MIDD, NYSE: ABB, NYSE: ETN, NYSE: NJ, NYSE: ROK, NYSE: AME, NYSE: RBC, NYSE: TMB, Nasdaq: WGOV, NYSE: CAT, NYSE: DE, NYSE: CNH, Nasdaq: JOYG, Nasdaq: BUCY, Nasdaq: AGCO, NYSE: EMR, NYSE: PH, NYSE: ROP, NYSE: PNR, NYSE: WM, NYSE: RSG, Nasdaq: FAST, NYSE: VMC, NYSE: MDU, NYSE: MLM, NYSE: OC, NYSE: VAL, NYSE: PCP, NYSE: X, NYSE: RS, NYSE: NVR, NYSE: DHI, NYSE: PHM, NYSE: TOL, NYSE: HOV, NYSE: CRH, NYSE: CX, NYSE: EXP, NYSE: FLR, NYSE: MDR, Nasdaq: FWLT, NYSE: ICA, NYSE: SWK, NYSE: TKR, NYSE: KMT, NYSE: LUK, NYSE: MAS, NYSE: WY, NYSE: PWR, NYSE: CBI, NYSE: EME, NYSE: SNA, NYSE: TTC, NYSE: GM, NYSE: F.

Manufacturing – What’s Up with That?!

Some would have you believe that in actuality, the Factory Orders Report for April was not quite as bad as it appears. They’ll tell you that the 1.2% decrease in orders was helped along its downward way by a revision in March’s growth to 3.8%, from the initially reported 3.0% increase. But what matters is that April factory orders were less than March, period. Sure orders were 11.8% above April of 2010; the market pays closer attention to month-over-month change though. If she were a selfish woman, she would say, “What have you done for me lately.” And anyhow, other data points support the argument that the U.S. manufacturing sector is faltering.

Motor Vehicle Sales fell in May, missing analysts’ estimates, likely on higher gasoline pricing and a straggled consumer. The annualized rate of domestic motor vehicle sales dropped to 8.8 million, well short of the 9.7 million pace expected by the economists surveyed by Bloomberg. May was also deeply lower than April’s sales rate of 10.1 million. GM’s (NYSE: GM) deliveries dropped 1.2%; Ford’s (NYSE: F) deliveries fell 2.6%; and Toyota (NYSE: TM) and Honda Motors (NYSE: HMC) sales fell as well, though it dealt with special issues. According to IHS Automotive, 3 to 3.5 million in annualized sales may be lost or deferred to next year because of the catastrophe in Japan.

Clearly, Japan is having some impact on the global economy, which should be expected given the importance of its economy on the global scale. Japan is deeply integrated into the global economy, and its missing automotive part and car deliveries and electronics will reach broadly. But the depth of damage to the U.S. market seems to say there’s more to the manufacturing miss than Japan.

The most compelling argument was made by the Institute for Supply Management Wednesday, when it reported that its ISM Manufacturing Purchasing Managers Index (PMI) dropped precipitously to 53.5 percent, from 60.4 percent in April. That 6.9 point fall-off was hard to overlook, as it was also dangerously close to the 50 threshold that separates segment expansion from contraction. The May reading was the lowest in 12 months. Several of the qualitative responses of purchasing managers named inflation outright as a concern, and one manager in the machinery segment said they were more aware now of a potential softening in industry.

The 10.7 percentage point drop in the New Orders Index would seem to say the writing is on the wall. New Orders marked just one point above 50. Production dropped 9.8 percentage points, so the only real strength, if you can call it that, came from peripherals, including customer’s inventories. Yet every single component index reported slower expansion than in April. I suppose the only real good noise was that the pricing index fell 9 points, though at a mark of 76.5, it still measured significantly swift growth. Order backlogs, however, dropped 10.5 points, to 50.5. What’s up with that?!

The most obvious culprit is softened end demand for manufactured goods. Behind this would clearly be expensive gasoline prices, and the higher prices of all goods. Commodity price pressure has been effectively moving through the producer plateau on to the consumer level. We’ve seen it in consumer staple companies and retailers, raising prices due to higher petro-chemical component prices and even cotton prices. It’s being found across the board, with the Core Consumer Price Index making 0.2% month-over-month gains of late. This is the continuation of the trend that was becoming preeminent before the financial crisis staggered it.

It reminds me of an old argument I was making when I first started blogging, that there was a difference today versus years past with regard to food and fuel price change. I said there was a secular driver behind the current trend for higher fuel prices, the emergence of the developing world. This was no seasonal or production driven hike in food and petroleum. Rather, demand was ratcheting up for all goods and services. The monster we created in China was now alive and out of control, and it would destroy everything our civilization had come to rely on… especially price stability. Oh we thought she would solve all our profit margin problems when we moved our manufacturing base to China. What say you now American COOs?

Eventually the cost of living would price more and more of us out of consumption. The consumer mood of late certainly does not depict a happy shopper. So when people stop purchasing goods and services, none of us should be surprised to find recession again at the doorstep. The economy was vulnerable still to begin with, and then you go and let gasoline spike to $4? The government is debating the debt ceiling and Standard & Poor’s is threatening a relatively near-term downgrade of America. Wouldn’t you expect uncertainty to creep its way back into the minds of investors, confusing them as to what to do next, if not to take their money and run?

I’ll tell you what to do next. First of all, win the war in Libya as quickly and cleanly as possible. Take out the madman, and send your best political consultants over to help the Libyans draft a constitution and elect a government of some sort. Protect the oil and get oil and gasoline prices back down one way or another! Next, Congress needs to set a deadline for a debt deal that nowhere near flirts with the real deadline of the debt ceiling. They need to lock themselves up in a room and realize that this is not like every other political pressure cooker; the heat is much hotter, and we’ll all get burned if they push the political game too far this time around. That’ll do for starters, and oh yeah, that’s what’s up with that!



This article should interest investors in Boeing (NYSE: BA), Raytheon (NYSE: RTN), Digital Globe (NYSE: DGI), GenCorp (NYSE: GY), General Dynamics (NYSE: GD), Goodrich (NYSE: GR), Northrop Grumman (NYSE: NOC), Honeywell (NYSE: HON), Lockheed Martin (NYSE: LMT), Rockwell Collins (NYSE: COL), L-3 Communications (NYSE: LLL), EMBRAER (NYSE: ERJ), FLIR Systems (Nasdaq: FLIR), BE Aerospace (Nasdaq: BEAV), TransDigm (NYSE: TDG), Spirit Aerosystems (NYSE: SPR), CAE (NYSE: CAE), Alliant Techsystems (NYSE: ATK), Hexcel (NYSE: HXL), Triumph Group (NYSE: TGI), Esterline Technologies (NYSE: ESL), Moog (NYSE: MOG-A), Heico (NYSE: HEI), Teledyne (NYSE: TDY), Curtiss-Wright (NYSE: CW), Cavco (Nasdaq: CVCO), Skyline (NYSE: SKY), Nobility Homes (Nasdaq: NOBH), Palm Harbor Homes (Nasdaq: PHHM), Mohawk Industries (NYSE: MHK), Interface (Nasdaq: IFSIA), Albany International (NYSE: AIN), Unifi (NYSE: UFI), Illinois Tool Works (NYSE: ITW), Tyco International (NYSE: TYC), Cummins (NYSE: CMI), Kubota (NYSE: KUB), Ingersoll-Rand (NYSE: IR), Dover (NYSE: DOV), ITT Corp. (NYSE: ITT), Flowserve (NYSE: FLS), Pall (NYSE: PLL), Dresser-Rand (NYSE: DRC), SPX (NYSE: SPW), Gardner Denver (NYSE: GDI), IDEX (NYSE: IEX), Nordson (Nasdaq: NDSN), Graco (NYSE: GGG), Actuant (NYSE: ATU), Middleby (Nasdaq: MIDD), ABB (NYSE: ABB), Eaton (NYSE: ETN), Nidec (NYSE: NJ), Rockwell Automation (NYSE: ROK), Ametek (NYSE: AME), Regal Beloit (NYSE: RBC), Thomas & Betts (NYSE: TMB), Woodward Governor (Nasdaq: WGOV), Caterpillar (NYSE: CAT), Deere (NYSE: DE), CNH (NYSE: CNH), Joy Global (Nasdaq: JOYG), Bucyrus (Nasdaq: BUCY), Agco (Nasdaq: AGCO), Emerson Electric (NYSE: EMR), Parker Hannifin (NYSE: PH), Roper Industries (NYSE: ROP), Pentair (NYSE: PNR), Waste Management (NYSE: WM), Republic Services (NYSE: RSG), Fastenal (Nasdaq: FAST), Vulcan Materials (NYSE: VMC), MDU Resources (NYSE: MDU), Martin Marietta Materials (NYSE: MLM), Owens Corning (NYSE: OC), Valspar (NYSE: VAL), Precision Castparts (NYSE: PCP), United States Steel (NYSE: X), Reliance Steel (NYSE: RS), NVR (NYSE: NVR), DR Horton (NYSE: DHI), Pulte (NYSE: PHM), Toll Brothers (NYSE: TOL), Hovnanian (NYSE: HOV), CRH (NYSE: CRH), CEMEX (NYSE: CX), Eagle Materials (NYSE: EXP), Fluor (NYSE: FLR), McDermott International (NYSE: MDR), Foster Wheeler (Nasdaq: FWLT), Empresas ICA (NYSE: ICA), Stanley Black & Decker (NYSE: SWK), Timken (NYSE: TKR), Kennametal (NYSE: KMT), Leucadia National (NYSE: LUK), Masco (NYSE: MAS), Weyerhaeuser (NYSE: WY), Quanta Services (NYSE: PWR), Chicago Bridge & Iron (NYSE: CBI), EMCOR (NYSE: EME), Snap-on (NYSE: SNA), Toro (NYSE: TTC), GM (NYSE: GM) and Ford (NYSE: F).

Please see our disclosures at the Wall Street Greek website and author bio pages found there. This article and website in no way offers or represents financial or investment advice. Information is provided for entertainment purposes only.

Industrial Production Lull Shakes Stocks

Economic Analysis

The Federal Reserve published Industrial Production data for the month of April this morning which added to economic concerns and helped weigh down the market. The Dow Jones Industrials Average (NYSE: DIA) dropped a half of a percentage point on this and other negative news Tuesday.

Our founder earned clients a 23% average annual return over five years as a stock analyst on Wall Street. "The Greek" has written for institutional newsletters, Businessweek, Real Money, Seeking Alpha and others, while also appearing across TV and radio. While writing for Wall Street Greek, Mr. Kaminis presciently warned of the financial crisis.

Relative Tickers include: NYSE: BA, NYSE: RTN, NYSE: DGI, NYSE: GY, NYSE: GD, NYSE: GR, NYSE: NOC, NYSE: HON, NYSE: LMT, NYSE: COL, NYSE: LLL, NYSE: ERJ, Nasdaq: FLIR, Nasdaq: BEAV, NYSE: TDG, NYSE: SPR, NYSE: CAE, NYSE: ATK, NYSE: HXL, NYSE: TGI, NYSE: ESL, NYSE: MOG-A, NYSE: HEI, NYSE: TDY, NYSE: CW, Nasdaq: CVCO, NYSE: SKY, Nasdaq: NOBH, Nasdaq: PHHM, NYSE: MHK, Nasdaq: IFSIA, NYSE: AIN, NYSE: UFI, NYSE: ITW, NYSE: TYC, NYSE: CMI, NYSE: KUB, NYSE: IR, NYSE: DOV, NYSE: ITT, NYSE: FLS, NYSE: PLL, NYSE: DRC, NYSE: SPW, NYSE: GDI, NYSE: IEX, Nasdaq: NDSN, NYSE: GGG, NYSE: ATU, Nasdaq: MIDD, NYSE: ABB, NYSE: ETN, NYSE: NJ, NYSE: ROK, NYSE: AME, NYSE: RBC, NYSE: TMB, Nasdaq: WGOV, NYSE: CAT, NYSE: DE, NYSE: CNH, Nasdaq: JOYG, Nasdaq: BUCY, Nasdaq: AGCO, NYSE: EMR, NYSE: PH, NYSE: ROP, NYSE: PNR, NYSE: WM, NYSE: RSG, Nasdaq: FAST, NYSE: VMC, NYSE: MDU, NYSE: MLM, NYSE: OC, NYSE: VAL, NYSE: PCP, NYSE: X, NYSE: RS, NYSE: NVR, NYSE: DHI, NYSE: PHM, NYSE: TOL, NYSE: HOV, NYSE: CRH, NYSE: CX, NYSE: EXP, NYSE: FLR, NYSE: MDR, Nasdaq: FWLT, NYSE: ICA, NYSE: SWK, NYSE: TKR, NYSE: KMT, NYSE: LUK, NYSE: MAS, NYSE: WY, NYSE: PWR, NYSE: CBI, NYSE: EME, NYSE: SNA, NYSE: TTC, NYSE: GM, NYSE: F and NYSE: TM.

Industrial Production Lull Shakes Stocks

Industrial Production was unchanged in April, a result that fell short of economists’ consensus expectations for 0.4% expansion, based on Bloomberg’s survey. Meanwhile, March production was revised down to +0.7% from 0.8%, and February’s activity was revised to record a decrease in production of 0.3%, versus the previously seen increase of 0.1%.

The earthquake in Japan weighed on industrial production, as automobile assembly activity was impeded by related supply shortages. Total motor vehicle assemblies dropped from an annual rate of 9.0 million units in March to 7.9 million units in April. Still, this does not explain the unfavorable changes to February and March. We know from our tap on the economy that extreme weather cost February some, and that March’s growth was likely affected by balancing or normalization. It’s funny that we are being vindicated now by late revisions to February economic data, as we had warned the economy would soften.

The case for a slowing industrial sector, and especially the manufacturing base, is supported by recent regional data, to a degree. The Empire State Manufacturing Survey was reported Monday by the New York Fed. The index fell to a mark of 11.88 in May, down from April’s 21.7 reading. While any figure above zero indicates growth, it’s still important that the pace of expansion was weakened.

Within April’s Industrial Production Report, we saw Capacity Utilization deteriorate to 76.9%, from 77% in March. Capacity Utilization has yet to fully recover, as it remains 3.5% below its long-term average (1972 to 2010). Clearly, with progress in inventory management and operations efficiencies gained over the years, capacity is more significantly short of more recent times’ usage. The report notes utilization highs of around 85% in the mid-90s and 80s. That said, utilization is significantly up from the 2008-2009 low of 67.3%. We suppose the capacity being measured only includes those plants that have not been shut down, which would mean the nation’s capacity utilization is overstated.

Manufacturing, a subset of the overall industrial measure, marked a 0.4% decrease in production in April. Manufacturing Capacity Utilization also dropped four-tenths of a point, to 74.4%, still 4.6% below its long-term average, but 10% above its 2009 trough.

Highlighting the main culprit behind the month’s drop-off, the output of motor vehicles and parts fell by 8.9% in April. That said, the report also noted “significant” losses in output in the following industries: primary metals; electrical equipment, appliances and components; and furniture and related products. We should note that weakness was not universal, with expanded production in: nonmetallic mineral products, fabricated metal products, machinery, computer and electronic products, and aerospace and miscellaneous transportation equipment. Durable goods production overall fell by 1.0%, while nondurables expanded by 0.1%.

Interpretation of manufacturing data now must account for the effects of the earthquake in Japan. Yet, other data across other segments of the economy seem to also show softness or are threatening softness. A slowing of economic growth has been clearly evident, and the Federal Reserve has acknowledged it as well. Certainly, the price of gasoline and other commodities has weighed on consumer sentiment and spending. Emerging nations, China and India, have put the reins to growth via constraints to their respective banking systems. Thus, an American manufacturing sector that had been surviving through domestic softness via the lift of the developing world is now facing even tougher times at home and in Europe combined with less support from Asian demand.



This article should interest investors in Boeing (NYSE: BA), Raytheon (NYSE: RTN), Digital Globe (NYSE: DGI), GenCorp (NYSE: GY), General Dynamics (NYSE: GD), Goodrich (NYSE: GR), Northrop Grumman (NYSE: NOC), Honeywell (NYSE: HON), Lockheed Martin (NYSE: LMT), Rockwell Collins (NYSE: COL), L-3 Communications (NYSE: LLL), EMBRAER (NYSE: ERJ), FLIR Systems (Nasdaq: FLIR), BE Aerospace (Nasdaq: BEAV), TransDigm (NYSE: TDG), Spirit Aerosystems (NYSE: SPR), CAE (NYSE: CAE), Alliant Techsystems (NYSE: ATK), Hexcel (NYSE: HXL), Triumph Group (NYSE: TGI), Esterline Technologies (NYSE: ESL), Moog (NYSE: MOG-A), Heico (NYSE: HEI), Teledyne (NYSE: TDY), Curtiss-Wright (NYSE: CW), Cavco (Nasdaq: CVCO), Skyline (NYSE: SKY), Nobility Homes (Nasdaq: NOBH), Palm Harbor Homes (Nasdaq: PHHM), Mohawk Industries (NYSE: MHK), Interface (Nasdaq: IFSIA), Albany International (NYSE: AIN), Unifi (NYSE: UFI), Illinois Tool Works (NYSE: ITW), Tyco International (NYSE: TYC), Cummins (NYSE: CMI), Kubota (NYSE: KUB), Ingersoll-Rand (NYSE: IR), Dover (NYSE: DOV), ITT Corp. (NYSE: ITT), Flowserve (NYSE: FLS), Pall (NYSE: PLL), Dresser-Rand (NYSE: DRC), SPX (NYSE: SPW), Gardner Denver (NYSE: GDI), IDEX (NYSE: IEX), Nordson (Nasdaq: NDSN), Graco (NYSE: GGG), Actuant (NYSE: ATU), Middleby (Nasdaq: MIDD), ABB (NYSE: ABB), Eaton (NYSE: ETN), Nidec (NYSE: NJ), Rockwell Automation (NYSE: ROK), Ametek (NYSE: AME), Regal Beloit (NYSE: RBC), Thomas & Betts (NYSE: TMB), Woodward Governor (Nasdaq: WGOV), Caterpillar (NYSE: CAT), Deere (NYSE: DE), CNH (NYSE: CNH), Joy Global (Nasdaq: JOYG), Bucyrus (Nasdaq: BUCY), Agco (Nasdaq: AGCO), Emerson Electric (NYSE: EMR), Parker Hannifin (NYSE: PH), Roper Industries (NYSE: ROP), Pentair (NYSE: PNR), Waste Management (NYSE: WM), Republic Services (NYSE: RSG), Fastenal (Nasdaq: FAST), Vulcan Materials (NYSE: VMC), MDU Resources (NYSE: MDU), Martin Marietta Materials (NYSE: MLM), Owens Corning (NYSE: OC), Valspar (NYSE: VAL), Precision Castparts (NYSE: PCP), United States Steel (NYSE: X), Reliance Steel (NYSE: RS), NVR (NYSE: NVR), DR Horton (NYSE: DHI), Pulte (NYSE: PHM), Toll Brothers (NYSE: TOL), Hovnanian (NYSE: HOV), CRH (NYSE: CRH), CEMEX (NYSE: CX), Eagle Materials (NYSE: EXP), Fluor (NYSE: FLR), McDermott International (NYSE: MDR), Foster Wheeler (Nasdaq: FWLT), Empresas ICA (NYSE: ICA), Stanley Black & Decker (NYSE: SWK), Timken (NYSE: TKR), Kennametal (NYSE: KMT), Leucadia National (NYSE: LUK), Masco (NYSE: MAS), Weyerhaeuser (NYSE: WY), Quanta Services (NYSE: PWR), Chicago Bridge & Iron (NYSE: CBI), EMCOR (NYSE: EME), Snap-on (NYSE: SNA), Toro (NYSE: TTC), GM (NYSE: GM), Toyota (NYSE: TM) and Ford (NYSE: F).

Please see our disclosures at the Wall Street Greek website and author bio pages found there. This article and website in no way offers or represents financial or investment advice. Information is provided for entertainment purposes only.

American Economic Value Destruction Seen in Wholesale Trade Data

Look closely at the latest Wholesale Trade data, and you’ll find what looks just like inflation. Yet, at the same time, you’ll also note what looks like American demand destruction. But if global demand remains adequate, then prices should not give as we might expect them to. Thus, there will be no counter balance, and life will get harder for Americans and the Middle Class will contract. American economic value is being destroyed, while the emerging world is enriched.

Our founder earned clients a 23% average annual return over five years as a stock analyst on Wall Street. "The Greek" has written for institutional newsletters, Businessweek, Real Money, Seeking Alpha and others, while also appearing across TV and radio. While writing for Wall Street Greek, Mr. Kaminis presciently warned of the financial crisis.

Relative tickers: NYSE: BA, NYSE: RTN, NYSE: DGI, NYSE: GY, NYSE: GD, NYSE: GR, NYSE: NOC, NYSE: HON, NYSE: LMT, NYSE: COL, NYSE: LLL, NYSE: ERJ, Nasdaq: FLIR, Nasdaq: BEAV, NYSE: TDG, NYSE: SPR, NYSE: CAE, NYSE: ATK, NYSE: HXL, NYSE: TGI, NYSE: ESL, NYSE: MOG-A, NYSE: HEI, NYSE: TDY, NYSE: CW, Nasdaq: CVCO, NYSE: SKY, Nasdaq: NOBH, Nasdaq: PHHM, NYSE: MHK, Nasdaq: IFSIA, NYSE: AIN, NYSE: UFI, NYSE: ITW, NYSE: TYC, NYSE: CMI, NYSE: KUB, NYSE: IR, NYSE: DOV, NYSE: ITT, NYSE: FLS, NYSE: PLL, NYSE: DRC, NYSE: SPW, NYSE: GDI, NYSE: IEX, Nasdaq: NDSN, NYSE: GGG, NYSE: ATU, Nasdaq: MIDD, NYSE: ABB, NYSE: ETN, NYSE: NJ, NYSE: ROK, NYSE: AME, NYSE: RBC, NYSE: TMB, Nasdaq: WGOV, NYSE: CAT, NYSE: DE, NYSE: CNH, Nasdaq: JOYG, Nasdaq: BUCY, Nasdaq: AGCO, NYSE: EMR, NYSE: PH, NYSE: ROP, NYSE: PNR, NYSE: WM, NYSE: RSG, Nasdaq: FAST, NYSE: VMC, NYSE: MDU, NYSE: MLM, NYSE: OC, NYSE: VAL, NYSE: PCP, NYSE: X, NYSE: RS, NYSE: NVR, NYSE: DHI, NYSE: PHM, NYSE: TOL, NYSE: HOV, NYSE: CRH, NYSE: CX, NYSE: EXP, NYSE: FLR, NYSE: MDR, Nasdaq: FWLT, NYSE: ICA, NYSE: SWK, NYSE: TKR, NYSE: KMT, NYSE: LUK, NYSE: MAS, NYSE: WY, NYSE: PWR, NYSE: CBI, NYSE: EME, NYSE: SNA, NYSE: TTC, NYSE: GM, NYSE: F

American Economic Value Destruction Seen in Wholesale Trade Data

The U.S. Census Bureau reported the latest Wholesale Trade data covering the month of March. It showed a 1.1% increase in Wholesale Inventories, which was about in line with the 1.0% forecast by economists surveyed at Bloomberg. Wholesalers’ Sales rose 2.9%, which was even more impressive when considering that February sales were revised higher. March’s burst in sales against slower inventory growth led the inventory-to-sales ratio to improve to 1.13, from 1.16 in February. But closer inspection offers a less than sanguine perspective.

The change to February sales took its decline from -0.8%, up to a decline still of -0.3%. We speculate that February’s relative sales weakness was likely weather hampered. The rough winter, especially for the Northeast and Midwest, affected the economy in a significant way. We saw its affects across small business, as evidenced by decline in the NFIB Small Business Optimism Index, which continued that trend in April. But I also saw anecdotal evidence of trouble, as small businesses I survey were strangling this winter, and that ranged from bars and restaurants to hair salons and art galleries.

The harsh winter weather certainly hampered whatever slim construction activity that may have been scheduled for February. Perhaps that’s why sales of lumber and other construction materials climbed 7.3% in March. Certainly high ticket durable goods played a role in the March expansion, as durables sales climbed 2.3%.

Meanwhile, price increase across commodities definitely drove sales gains. An example of this can be seen in the 6.7% increase in sales of metals and minerals. Sales of petroleum and related products increased 7.9%, obviously on the rise in oil prices. Chemicals and allied products, which are tied to petroleum, saw sales increase of 6.3%.

The automotive sector was basically the only soft spot within the report, reporting wholesale sales down 1.4%. Yet, this should not be a surprise either, considering that as gasoline gets expensive, demand should lessen for gas guzzlers.

Nondurables sales increased 3.4%, driven by gains in drugs (+1.4%), apparel (+1.4%), groceries (+2.3%) and farm products (+1.7%). Those last two lead one to worry about price rise, and then we think about the reported increases in apparel prices at several retailers as well. We’ve seen consumer staple companies complain about margin squeeze for months now, and finally we’re seeing them pass through price pressures to consumers (reference Kimberly-Clark (NYSE: KMB) for just one).

Within inventory changes, we noted a 3.9% decrease in Computer and Computer Peripheral Equipment and Software. This is not a good sign for business investment, and neither is the slim 0.4% increase in durable goods inventories. Automotive inventories were down 0.5%. Excluding the food, petroleum and commodity related industries, we note drug inventories increased 3.0%. As you might imagine, all others were up significantly. Nondurable goods inventories in aggregate rose 2.0%.

Folks, if it looks like inflation, walks and talks like inflation and smells like inflation, then it’s probably inflation. This report stinks of inflation and demand destruction at the same time, and therefore fits the puzzle characterizing today’s American economy. Increasing emerging market demand for goods and services is raising prices for goods, while not necessarily raising the financial well being of Americans. What I’m seeing is economic value destruction of American wealth. We had better figure out quickly how to better benefit from emerging world development, because as American companies benefit from the leverage of their expertise overseas, that is not in turn employing enough Americans. Thus, the middle class we’ve grown so proud of may soon begin to contract.



This article should interest investors in Boeing (NYSE: BA), Raytheon (NYSE: RTN), Digital Globe (NYSE: DGI), GenCorp (NYSE: GY), General Dynamics (NYSE: GD), Goodrich (NYSE: GR), Northrop Grumman (NYSE: NOC), Honeywell (NYSE: HON), Lockheed Martin (NYSE: LMT), Rockwell Collins (NYSE: COL), L-3 Communications (NYSE: LLL), EMBRAER (NYSE: ERJ), FLIR Systems (Nasdaq: FLIR), BE Aerospace (Nasdaq: BEAV), TransDigm (NYSE: TDG), Spirit Aerosystems (NYSE: SPR), CAE (NYSE: CAE), Alliant Techsystems (NYSE: ATK), Hexcel (NYSE: HXL), Triumph Group (NYSE: TGI), Esterline Technologies (NYSE: ESL), Moog (NYSE: MOG-A), Heico (NYSE: HEI), Teledyne (NYSE: TDY), Curtiss-Wright (NYSE: CW), Cavco (Nasdaq: CVCO), Skyline (NYSE: SKY), Nobility Homes (Nasdaq: NOBH), Palm Harbor Homes (Nasdaq: PHHM), Mohawk Industries (NYSE: MHK), Interface (Nasdaq: IFSIA), Albany International (NYSE: AIN), Unifi (NYSE: UFI), Illinois Tool Works (NYSE: ITW), Tyco International (NYSE: TYC), Cummins (NYSE: CMI), Kubota (NYSE: KUB), Ingersoll-Rand (NYSE: IR), Dover (NYSE: DOV), ITT Corp. (NYSE: ITT), Flowserve (NYSE: FLS), Pall (NYSE: PLL), Dresser-Rand (NYSE: DRC), SPX (NYSE: SPW), Gardner Denver (NYSE: GDI), IDEX (NYSE: IEX), Nordson (Nasdaq: NDSN), Graco (NYSE: GGG), Actuant (NYSE: ATU), Middleby (Nasdaq: MIDD), ABB (NYSE: ABB), Eaton (NYSE: ETN), Nidec (NYSE: NJ), Rockwell Automation (NYSE: ROK), Ametek (NYSE: AME), Regal Beloit (NYSE: RBC), Thomas & Betts (NYSE: TMB), Woodward Governor (Nasdaq: WGOV), Caterpillar (NYSE: CAT), Deere (NYSE: DE), CNH (NYSE: CNH), Joy Global (Nasdaq: JOYG), Bucyrus (Nasdaq: BUCY), Agco (Nasdaq: AGCO), Emerson Electric (NYSE: EMR), Parker Hannifin (NYSE: PH), Roper Industries (NYSE: ROP), Pentair (NYSE: PNR), Waste Management (NYSE: WM), Republic Services (NYSE: RSG), Fastenal (Nasdaq: FAST), Vulcan Materials (NYSE: VMC), MDU Resources (NYSE: MDU), Martin Marietta Materials (NYSE: MLM), Owens Corning (NYSE: OC), Valspar (NYSE: VAL), Precision Castparts (NYSE: PCP), United States Steel (NYSE: X), Reliance Steel (NYSE: RS), NVR (NYSE: NVR), DR Horton (NYSE: DHI), Pulte (NYSE: PHM), Toll Brothers (NYSE: TOL), Hovnanian (NYSE: HOV), CRH (NYSE: CRH), CEMEX (NYSE: CX), Eagle Materials (NYSE: EXP), Fluor (NYSE: FLR), McDermott International (NYSE: MDR), Foster Wheeler (Nasdaq: FWLT), Empresas ICA (NYSE: ICA), Stanley Black & Decker (NYSE: SWK), Timken (NYSE: TKR), Kennametal (NYSE: KMT), Leucadia National (NYSE: LUK), Masco (NYSE: MAS), Weyerhaeuser (NYSE: WY), Quanta Services (NYSE: PWR), Chicago Bridge & Iron (NYSE: CBI), EMCOR (NYSE: EME), Snap-on (NYSE: SNA), Toro (NYSE: TTC), GM (NYSE: GM) and Ford (NYSE: F).

Please see our disclosures at the Wall Street Greek website and author bio pages found there. This article and website in no way offers or represents financial or investment advice. Information is provided for entertainment purposes only.

Factory Orders Fumble in February

Factory Orders fell 0.1% in February, but all is not lost. While there's an inclination to fear the worst, given the latest turn in several forward looking economic indicators, our review of the latest manufacturing data does not have us up in arms, at least not immediately. However, don't get me wrong, the report does sound an alarm about the economy.

Our founder earned clients a 23% average annual return over five years as a stock analyst on Wall Street. "The Greek" has written for institutional newsletters, Businessweek, Real Money, Seeking Alpha and others, while also appearing across TV and radio. While writing for Wall Street Greek, Mr. Kaminis presciently warned of the financial crisis.

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Factory Orders Fumble in February

Factory Orders fell 0.1% in February, yes, but all is not lost dear friends. As we reviewed the economic report, which required plenty of coffee in this particular case, we found appeasing factors that quelled our concern a bit. With opening day baseball playing in the background, we reviewed the relatively bland economic statistics, so forgive me if I accidentally calculate an OBA in place of an inventory ratio.

What we found is that an upward revision to January's factory orders played against February's percentage change. January orders were revised higher, to 3.3%, from the 3.1% rate initially reported. Economists surveyed by Bloomberg were looking for a 0.5% increase for this reported month, so at least some of the difference between expectations (+0.5%) and the result (-0.1%) is explainable by the prior month revision. Furthermore, we would have likely had a positive change in February, instead of a negative change, if the revision did not occur.

Also quelling our concern is the fact that January orders were so strong, so that perhaps some of what might have been ordered in early February was instead called in at the end of January. This is the reason many economic data points review several months combined, and why some companies no longer offer monthly data. With that said, perhaps we should not have expected much from February, given January’s strength.

If we exclude the big-ticket transportation sector from the order data, we find new orders actually increased by 0.1%. The transportation sector posted a big new order decrease of 1.5% in February. Transportation has been down four out of the last five months. Durable goods orders, also down 4 out of 5 months, fell 0.6% after a 3.7% increase in January. Nondurables increased by 0.3%.

Shipments increased for the sixth consecutive month, growing by 0.3% in February. That's good news. Unfilled orders rose by 0.5%, but before you get antsy, realize that this data-point will increase when economic activity is on the rise. What should be concerning is that the Unfilled Orders–to–Shipments Ratio was up to 5.64, from 5.63. When the increase is not proportional, taking into account how proportions might change as the level of activity changes, that's when we raise an eyebrow (literally in The Greek's case). Inventories increased by 0.8%, but again, we need to look at inventory in proportion to sales activity. The Inventory-to-Shipments Ratio did rise though, to 1.26 from 1.25.

Taking a closer look at the industries measured by the report, we find interesting strength in several areas. Industrial Machinery Shipments, for one, posted very impressive growth, rising 16% in February. However, closer inspection shows a significant drop in January shipments that was basically made up for in February. The same thing happened in Farm Machinery, which was up 12.7% in February. This might be part of the reason Deere (NYSE: DE) was up 2.6% today.

Aluminum and Nonferrous Metals data seems to show an interesting growth trend, with shipments up 4.4% in February, following 2.6% and 3.8% increases in the prior two months. But how much of that do you think is due to price increase? I would say it's probably a significant reason for the growth here. Hey, that shouldn’t matter for Alcoa (NYSE: AA) though, when it reports results shortly, but it matters for the economy as it distorts the view of real growth. Alcoa's shares have been moving up heading towards its EPS report. We also saw Nondurable Farm Products post shipments increases, again likely on price change.

With regard to autos, shipments increased 1.6% in February, 0.2% in January and 0.1% in December. Shipments of Light Trucks and Utility Vehicles have also gained, rising 5.4%, 5.7% and 6.3% over the last three months. The report does not provide new order activity for these segments though. Noise will clutter automobile statistics in the months ahead though, due to the logistics nightmare tied to the disruption of production in Japanese plants.

As far as orders go, when excluding transportation, there is a noticeable decelerating trend over the last three months. The trend shows orders rose only 0.1% in February, down from 0.7% growth in January, which was down from 3.0% growth in December. That is concerning, and might be more than just a lull.

Aluminum orders gained 4.2% in February, with gains also posted in the two months prior. Mining, Oil Field and Gas Field Machinery Orders were up each of the last two months, rising 22.4% in February. Given the intensification of focus on energy independence, this is more good news for these machinery makers. Computers and Electronic Products Orders have hit a dry spell, sort of meandering around limbo, with orders up just 0.1% in February.

In conclusion, I would not be too worried about the month's decrease in order activity in February, due to its following such a strong January. However, the steadily slowing pace of order activity excluding transportation over the last three months might be a warning sign that the manufacturing strength that optimists keep pointing to might be pulled out from under them.

This article should interest investors in Boeing (NYSE: BA), Raytheon (NYSE: RTN), Digital Globe (NYSE: DGI), GenCorp (NYSE: GY), General Dynamics (NYSE: GD), Goodrich (NYSE: GR), Northrop Grumman (NYSE: NOC), Honeywell (NYSE: HON), Lockheed Martin (NYSE: LMT), Rockwell Collins (NYSE: COL), L-3 Communications (NYSE: LLL), EMBRAER (NYSE: ERJ), FLIR Systems (Nasdaq: FLIR), BE Aerospace (Nasdaq: BEAV), TransDigm (NYSE: TDG), Spirit Aerosystems (NYSE: SPR), CAE (NYSE: CAE), Alliant Techsystems (NYSE: ATK), Hexcel (NYSE: HXL), Triumph Group (NYSE: TGI), Esterline Technologies (NYSE: ESL), Moog (NYSE: MOG-A), Heico (NYSE: HEI), Teledyne (NYSE: TDY), Curtiss-Wright (NYSE: CW), Cavco (Nasdaq: CVCO), Skyline (NYSE: SKY), Nobility Homes (Nasdaq: NOBH), Palm Harbor Homes (Nasdaq: PHHM), Mohawk Industries (NYSE: MHK), Interface (Nasdaq: IFSIA), Albany International (NYSE: AIN), Unifi (NYSE: UFI), Illinois Tool Works (NYSE: ITW), Tyco International (NYSE: TYC), Cummins (NYSE: CMI), Kubota (NYSE: KUB), Ingersoll-Rand (NYSE: IR), Dover (NYSE: DOV), ITT Corp. (NYSE: ITT), Flowserve (NYSE: FLS), Pall (NYSE: PLL), Dresser-Rand (NYSE: DRC), SPX (NYSE: SPW), Gardner Denver (NYSE: GDI), IDEX (NYSE: IEX), Nordson (Nasdaq: NDSN), Graco (NYSE: GGG), Actuant (NYSE: ATU), Middleby (Nasdaq: MIDD), ABB (NYSE: ABB), Eaton (NYSE: ETN), Nidec (NYSE: NJ), Rockwell Automation (NYSE: ROK), Ametek (NYSE: AME), Regal Beloit (NYSE: RBC), Thomas & Betts (NYSE: TMB), Woodward Governor (Nasdaq: WGOV), Caterpillar (NYSE: CAT), Deere (NYSE: DE), CNH (NYSE: CNH), Joy Global (Nasdaq: JOYG), Bucyrus (Nasdaq: BUCY), Agco (Nasdaq: AGCO), Emerson Electric (NYSE: EMR), Parker Hannifin (NYSE: PH), Roper Industries (NYSE: ROP), Pentair (NYSE: PNR), Waste Management (NYSE: WM), Republic Services (NYSE: RSG), Fastenal (Nasdaq: FAST), Vulcan Materials (NYSE: VMC), MDU Resources (NYSE: MDU), Martin Marietta Materials (NYSE: MLM), Owens Corning (NYSE: OC), Valspar (NYSE: VAL), Precision Castparts (NYSE: PCP), United States Steel (NYSE: X), Reliance Steel (NYSE: RS), NVR (NYSE: NVR), DR Horton (NYSE: DHI), Pulte (NYSE: PHM), Toll Brothers (NYSE: TOL), Hovnanian (NYSE: HOV), CRH (NYSE: CRH), CEMEX (NYSE: CX), Eagle Materials (NYSE: EXP), Fluor (NYSE: FLR), McDermott International (NYSE: MDR), Foster Wheeler (Nasdaq: FWLT), Empresas ICA (NYSE: ICA), Stanley Black & Decker (NYSE: SWK), Timken (NYSE: TKR), Kennametal (NYSE: KMT), Leucadia National (NYSE: LUK), Masco (NYSE: MAS), Weyerhaeuser (NYSE: WY), Quanta Services (NYSE: PWR), Chicago Bridge & Iron (NYSE: CBI), EMCOR (NYSE: EME), Snap-on (NYSE: SNA), Toro (NYSE: TTC), GM (NYSE: GM) and Ford (NYSE: F).

Please see our disclosures at the Wall Street Greek website and author bio pages found there. This article and website in no way offers or represents financial or investment advice. Information is provided for entertainment purposes only.

Industrial Production Pitstop in August 2010

Data Breakdown

The Industrial Production report for August provided the key data-point for the day's business wire. On the surface, the report offered an in-line result that seemed to provide traders with a ho-hum impetus on the morn. However, as usual, your hard-working independent analyst offers some important insight.

Our founder earned clients a 23% average annual return over five years as a stock analyst on Wall Street. "The Greek" has written for institutional newsletters, Businessweek, Real Money, Seeking Alpha and others, while also appearing across TV and radio. While writing for Wall Street Greek, Mr. Kaminis presciently warned of the financial crisis.

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Industrial Production August 2010

Industrial production gained 0.2% in August, matching economists' views. However, July's rate of expansion was revised downward to +0.6%, from +1.0% initially reported. That's a four-tenths of a point reduction and is significant. Arguably, without that cut, August's data would have disappointed investors this morning. This is similar insight to that provided in yesterday's Retail Sales Report recap.

The Federal Reserve reports that the month of August was impacted by a pullback in motor vehicle production, which fits with other data we have recently received on auto industry stalling. This sector weakness is important to note, because similarly to the housing industry, auto market activity reflects the health of the broader US marketplace. Owning a car in America is akin to homeownership and the love of apple pie and baseball, or at least it used to be in the days of free money. At least that's the case outside of New York City, where we still get around on our own two legs and an ever more costly transit system (the resourceful among us ride bikes too).

The Fed reports that excluding auto production, manufacturing output increased 0.5% in August (against the revised comparable). To be fair to my Ford (NYSE: F) friends, July offered robust auto manufacturing, and made for a tough comparable this month. Evidencing this fact, July's production gain excluding autos was just 0.2%. The optimists among you will be profoundly moved by the news that production was 6.2% higher than August of last year. The rest of you will blow it off wisely.

Let's get dirty now, and look at the details. We'll start with the bad news. Consumer goods production fell 0.4% in August, after rising 0.8% in July. That's quite sad, until you realize most of this stuff is made in China anyway, and therefore, the line item is relatively insignificant. Heck, most everything is made overseas now, which leaves the manufacturing sector with only about a 10% importance with regard to total GDP. We are a service providing nation people; we will do your nails, deliver you pizza, do your taxes and even sell you an advertisement on a blog. We even do windows for heaven's sake! But, if you want a cool electronic device, you'll find it has covered more ground than Michael Vick did last weekend against the Packers.

Regarding consumer goods, the index for consumer durables fell 3.0 percent (bad news for Whirlpool (NYSE :WHR) and GE (NYSE: GE) we assume). The output of automotive products recorded the largest drop, 5.2 percent, and the output of appliances, furniture, and carpeting declined 2.1 percent. The production of nondurable consumer goods rose 0.3 percent (Where would you find this US made stuff anyway?). A gain of 1.0 percent in the non-energy category more than offset a decline in the energy category. Within non-energy nondurables, the indexes for foods (the only thing we still make other than guns) and tobacco, for clothing, and for paper products each moved up more than 1.0 percent, and the index for chemical products increased 0.6 percent after having declined for four consecutive months. The production of consumer energy goods fell 2.2 percent in August.

Business equipment production increased 0.7%, against a 1.0% increase in July. You tell me, does New York based Steelcase (NYSE: SCS) make office furniture in the States? Maybe Staples (Nasdaq: SPLS) does; probably Dunder Mifflin anyway. Wait a second, is Dunder Mifflin a real company or is this website a production of The Onion?

Among business equipment categories, the output of transit equipment increased 1.4 percent in August (there are about a thousand MTA jokes I could come up with here), and the indexes for information processing equipment and for industrial and other equipment recorded smaller gains. The production of transit equipment was boosted by an advance in the output of civilian aircraft. The index for defense and space equipment fell 0.3 percent after having jumped 1.9 percent in July. In the future, we can look for the President's railway stimulus to give rise to gains here, but for decreases in defense spending to offset those somewhat (assuming it passes).

Here's an interesting point: The production of construction products increased 0.8% in August, marking the first rise since April. Production in manufacturing (generally) rose 0.2 percent in August, and the factory operating rate moved up to 72.2 percent, a rate 7.0 percentage points below its 1972 to 2009 average (that's not good). The output of furniture and related products decreased 1.8 percent in August, but output in this category remained 2.2 percent above its year-earlier level.

Stop the presses! Capacity Utilization declined in August, to 74.7%, down from July's 74.8% and off the same forecast for August. Capacity utilization rates at industries grouped by stage of process were as follows: For the crude stage, utilization increased 0.9 percentage point, to 85.4 percent, a rate that was 1.1 percentage points below its 1972 to 2009 average; for the primary and semifinished stages, utilization edged down 0.1 percentage point, to 72.4 percent, a rate 9.2 percentage points below its long-run average; and for the finished stage, utilization increased 0.1 percentage point, to 73.5 percent, a rate 4.0 percentage points below its long-run average.

Folks, the industrial production report for August illustrates a stalling auto sector and general economy. Capacity utilization had been on a steady increase, and finds here its first back-step. Manufacturing employment has shown signs of change of late as well. The small manufacturing sector took a beating in the downslide, but had been a source of new jobs for many months since. Finally, we appear to have normalized to a state of cool economic demand, which is logically situated on the unstable footing of a near 17% under-employment situation. No surprise for Wall Street Greek readers, but market gurus have only just gotten on board, and the market too, over the last few months.



This article should interest investors in Boeing (NYSE: BA), Raytheon (NYSE: RTN), Digital Globe (NYSE: DGI), GenCorp (NYSE: GY), General Dynamics (NYSE: GD), Goodrich (NYSE: GR), Northrop Grumman (NYSE: NOC), Honeywell (NYSE: HON), Lockheed Martin (NYSE: LMT), Rockwell Collins (NYSE: COL), L-3 Communications (NYSE: LLL), EMBRAER (NYSE: ERJ), FLIR Systems (Nasdaq: FLIR), BE Aerospace (Nasdaq: BEAV), TransDigm (NYSE: TDG), Spirit Aerosystems (NYSE: SPR), CAE (NYSE: CAE), Alliant Techsystems (NYSE: ATK), Hexcel (NYSE: HXL), Triumph Group (NYSE: TGI), Esterline Technologies (NYSE: ESL), Moog (NYSE: MOG-A), Heico (NYSE: HEI), Teledyne (NYSE: TDY), Curtiss-Wright (NYSE: CW), Cavco (Nasdaq: CVCO), Skyline (NYSE: SKY), Nobility Homes (Nasdaq: NOBH), Palm Harbor Homes (Nasdaq: PHHM), Mohawk Industries (NYSE: MHK), Interface (Nasdaq: IFSIA), Albany International (NYSE: AIN), Unifi (NYSE: UFI), Illinois Tool Works (NYSE: ITW), Tyco International (NYSE: TYC), Cummins (NYSE: CMI), Kubota (NYSE: KUB), Ingersoll-Rand (NYSE: IR), Dover (NYSE: DOV), ITT Corp. (NYSE: ITT), Flowserve (NYSE: FLS), Pall (NYSE: PLL), Dresser-Rand (NYSE: DRC), SPX (NYSE: SPW), Gardner Denver (NYSE: GDI), IDEX (NYSE: IEX), Nordson (Nasdaq: NDSN), Graco (NYSE: GGG), Actuant (NYSE: ATU), Middleby (Nasdaq: MIDD), ABB (NYSE: ABB), Eaton (NYSE: ETN), Nidec (NYSE: NJ), Rockwell Automation (NYSE: ROK), Ametek (NYSE: AME), Regal Beloit (NYSE: RBC), Thomas & Betts (NYSE: TMB), Woodward Governor (Nasdaq: WGOV), Caterpillar (NYSE: CAT), Deere (NYSE: DE), CNH (NYSE: CNH), Joy Global (Nasdaq: JOYG), Bucyrus (Nasdaq: BUCY), Agco (Nasdaq: AGCO), Emerson Electric (NYSE: EMR), Parker Hannifin (NYSE: PH), Roper Industries (NYSE: ROP), Pentair (NYSE: PNR), Waste Management (NYSE: WM), Republic Services (NYSE: RSG), Fastenal (Nasdaq: FAST), Vulcan Materials (NYSE: VMC), MDU Resources (NYSE: MDU), Martin Marietta Materials (NYSE: MLM), Owens Corning (NYSE: OC), Valspar (NYSE: VAL), Precision Castparts (NYSE: PCP), United States Steel (NYSE: X), Reliance Steel (NYSE: RS), NVR (NYSE: NVR), DR Horton (NYSE: DHI), Pulte (NYSE: PHM), Toll Brothers (NYSE: TOL), Hovnanian (NYSE: HOV), CRH (NYSE: CRH), CEMEX (NYSE: CX), Eagle Materials (NYSE: EXP), Fluor (NYSE: FLR), McDermott International (NYSE: MDR), Foster Wheeler (Nasdaq: FWLT), Empresas ICA (NYSE: ICA), Stanley Black & Decker (NYSE: SWK), Timken (NYSE: TKR), Kennametal (NYSE: KMT), Leucadia National (NYSE: LUK), Masco (NYSE: MAS), Weyerhaeuser (NYSE: WY), Quanta Services (NYSE: PWR), Chicago Bridge & Iron (NYSE: CBI), EMCOR (NYSE: EME), Snap-on (NYSE: SNA), Toro (NYSE: TTC).

Please see our disclosures at the Wall Street Greek website and author bio pages found there. This article and website in no way offers or represents financial or investment advice. Information is provided for entertainment purposes only.