US business loan activity is on the rise

John Robertson

PortfolioDirect

US business loan activity is on the rise. Greater optimism about resource sector investment returns will need more signs of improved investment spending in the advanced economies and, with that, stronger raw material demand. U.S. commercial and industrial loans by banks rose 61% over the year to February 2014. The numbers are tallied in the first week of the middle month in each quarter by the US Federal Reserve. The next survey is due to be completed next week and published around 1 July. The flow through into capacity expansions or equipment updates is not yet evident. Low capital intensity technological innovation will account for some of the additional financial firepower but the numbers suggest that lending constraints are not holding back investment decisions.


2 topics

John Robertson
John Robertson
PortfolioDirect

John Robertson is Chief Investment Strategist for PortfolioDirect a provider of resource sector investment stock ratings and portfolio strategies for mining and oil and gas investors. He has worked as a policy economist, corporate business...

Expertise

No areas of expertise

I would like to

Only to be used for sending genuine email enquiries to the Contributor. Livewire Markets Pty Ltd reserves its right to take any legal or other appropriate action in relation to misuse of this service.

Personal Information Collection Statement
Your personal information will be passed to the Contributor and/or its authorised service provider to assist the Contributor to contact you about your investment enquiry. They are required not to use your information for any other purpose. Our privacy policy explains how we store personal information and how you may access, correct or complain about the handling of personal information.

Comments

Sign In or Join Free to comment