First sign of economic recovery will be on trains, ships and trucks - Jacksonville Business Journal:

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Their insight is unique because they view the dailt paceof manufacturers’ and producers’ output and response. Manufacturers’ production reflects the availabilituyof credit, thus illuminating the state of the financiapl industry. And retailers’ ability to sell is a sign of consumert confidence. But despite being a crystal ball that can foresee monthx intothe future, movements within the suppl y chain aren’t always what they appear to be. For instance, an increase in gooda and materials heading out of the warehous might not necessarily meanthat retailers’ demand for productzs is increasing, said The Grimes Cos.
President Michael It could be just that retailer are slashing rates as they find it cheapefr to sell their products than keep them in A similar pace of materials or goods coming into the warehouse from manufacturers and producers to what goes out is a sign that thingws are onthe rebound. “Inventory turns are a good sign, but you have to look at the volumes to determinewhether it’s a healthyy supply chain,” O’Leary said. “They might just be running a tighter supply chain.” It’s not just how things are but what’s moving, said and President Allen Steele.
The recessioj has hit the construction and automobileindustrhy hardest, so a movemenr of materials related to either would be a sign that thing s are turning around. “When we start seeiny everything from furniture totires moving, we’ll have a pretty good Steele said. “But we haven’t seen it.” The positive sign of an increase handling of materials related to the two most affecter industries holds true for therail too, said spokesman Gary Sease. The company has handled half as many auto s and other wheeled equipment and metal as it did ayear ago.
Naturally, an increases in the amount of car loadxs handled by the company would also be a sign that the econom y ispicking up. CSX’s total handling is down by nearly 17 Sease said an increase in intermodal traffic woulr also be a positive sign of renewed consumer spendintg since much of what is imported is tied to consumer Though the recession hit the automotive and construction industry the home goods and luxury electronics industries havebeen hurt, too, O’Leary He’s not sure that consumers’ appetits for such goods will return even when the economy bounces back, so they mighty not be as good a sign of consumee confidence as they were in the meltdown.
The shippint industry’s health is also an excellent barometer of the especially since it connectsthe U.S. economy to the rest of the The industry’s health is poor and worsening, with shipping ratee plummeting and companies docking When ships begin commissioning more noncritical it will be a clear sign that they are rampingb up to handlemore freight, said Jack president and CEO of , a marinre supplier of pipes, valves and fittings.
For those ships to have freightfto carry, the banks need to loosen up said Terry Brown, presiden t of The company’s customers say there is a demand for their products and but credit is not available to make it How much attention logistics and transporgt companies’ customers pay to cutting costs on theirr supply chains can also be a reflection of the healtuh of their operations, said PenserSC CEO Shawn Barnett. When customers spend less time trying to find ways tocut they’ll likely be focusingb more on customer service and expansion. Barnetyt said a sign of companies regaining confidence wouldx be if they returned to their regulartshipping schedules.
Many of his company’s customer s are trying to consolidate theirshippinb lanes, meaning that a supplier may only send its goodw to the supermarket three days per week instead of