While yesterday’s 3rdquarter GDP report was overall positive for manufacturers there is still a great deal of uncertainty that the growth we say this past quarter is sustainable.
NAM Board of Directors Member Rich Gimmel of Atlas Machine & Supply Inc. spoke to the Wall Street Journal about the uncertainty in the economy:
“Nobody is doing this like they did in the early ’80s where you had this groundswell of optimism” about the recovery, Mr. Gimmel said. “It’s more of a begrudging, ‘Demand may come back but I’m not sure how sustainable it’s going to be, so I’m going to spend just enough to keep up.’ “
In order to have a sustained recovery and eliminate much of the uncertainty manufacturers need pro-growth policies from Washington that will enable them to create jobs, invest and grow. Until the uncertainty over regulations, the deficit and tax policy are resolved investors will remain on sidelines.