The Credit Managers’ Index (CMI) for June shows little change after a disappointing June, according to statistics available in Thursday's eNews release and at www.nacm.org.
The most distressing trend in the latest CMI is that sales continue to sag, and the slowing pace of expansion does not bode well for the summer months. Concern exists in areas such as accounts place for collection. However, there has been no surge in bankruptcy activity.
That is a good indication of the fact that most business has not yet fallen back to the miserable patterns of a year or so ago.
Positive news in the latest CMI can be found in dollar collections and the rise in amount of credit extended, according to CMI data.
The economy as a whole seems to have settled into a pattern that is not in crisis, but neither is it expanding at an acceptable pace. It has been opined that no news is good news. There is something to be said for a month of data that didn’t really change, especially when changes of late have been more negative than positive. The latest CMI report is nearly identical to the prior reading, and right now that is a cause for some optimism. Not that there weren’t variations in the details—those will be the trends assessed in the coming months.
(Note: Check for more on the June CMI in Thursday's eNews or in the headlines bar on the NACM homepage, www.nacm.org).