News Briefs - Oct. 29
The Latest Headlines:
- Chicago Manufacturing Index Rises as New Orders Surge
- Final October Sentiment Index Falls From September
- ArvinMeritor to Sell Two Units
- Rail Intermodal Volume Sets Second Straight Record
- Pennsylvania Turnpike Project Begins
- Final October Sentiment Index Falls From September
Chicago Manufacturing Index Rises as New Orders Surge
The National Association of Purchasing Management-Chicago said Friday its regional manufacturing index rose to 68.5 this month from 61.9 in September.Readings higher than 50 indicate growth, and October was the 18th month of uninterrupted expansion. The manufacturing sector is one of trucking's largest and most important customers.
Economists expected the index would fall to 59, Bloomberg reported.
Final October Sentiment Index Falls From September
The University of Michigan said Friday its final consumer sentiment index for October dropped to 91.7, down from 94.2 in September but higher than a mid-month reading of 87.5, Reuters reported.The measure of current conditions climbed to 104.0 from 103.7, while the expectations component slid to 83.8 from 88.0.
Consumer sentiment is commonly thought to drive spending, which often pushes demand for trucking services. Transport Topics
ArvinMeritor to Sell Two Units
Vehicle parts supplier ArvinMeritor Inc. said it planned to sell its Light Vehicle Aftermarket unit and Roll Coater coil coating subsidiary."These divestitures will enable ArvinMeritor to leverage our core competencies in the global automotive and commercial truck markets . . . ," said ArvinMeritor Chairman and President Charles McClure.
ArvinMeritor said it would take a charge of $190 million, or $2.77 per share, in its fiscal fourth quarter for the LVA business. Transport Topics
Rail Intermodal Volume Sets Second Straight Record
The Association of American Railroads said late Thursday that intermodal volume totaled 231,829 trailers or containers in the week ended Oct. 23, breaking the record set a week earlier.The volume was 10.5% higher than the same week a year earlier and broke the week-old record of 231,255 trailers or containers.
Railroad volume is considered an important economic indicator. Intermodal traffic, which tends to be higher-valued merchandise than bulk commodities, uses trains for the long haul and trucks for the shorter distance at either end of the trip.
For the first 42 weeks the year, intermodal volume was 8.8 million trailers or containers, up 9.6% from a year earlier. Transport Topics
Pennsylvania Turnpike Project Begins
The Pennsylvania Turnpike Commission broke ground Oct. 13 on an expansion project in suburban Philadelphia, the Associated Press reported.Turnpike Chairman Mitchell Rubin said the project, which was expected to cost $181 million, was funded by increased revenues from a toll hike in August, AP said.
The project included widening roads and replacing bridges. It also included adding new tollbooths and E-Z Pass lanes at the Norristown Interchange, which is about 20 miles from Philadelphia.
All work was scheduled to be finished in 2008, according to AP. Transport Topics
