Industrial Select Sector SPDR® ETF

A lower unemployment rate is one of the key objectives of the Fed. In 2017, the unemployment rate fell, reaching 4.1% in its latest November reading.

The Federal Reserve released its November industrial production report on December 15, 2017. The report indicated that industrial production improved 0.2% in November.

This year has been a year to watch the US economy. Hopes for change, tax reform, and industry-friendly policies drove the markets (SPY) higher.

KBR has an assorted mix of business portfolios, which helps it combat cyclicality associated with any single market.

KBR (KBR), headquartered in Houston, Texas, is a comprehensive professional service and technology provider.

The inability of employers to find suitable workers is leading to wage increases, especially in the professional, technical (XLK), and production (XLI) sectors.

Comparing the economic performance with economic expectations and the previous cycles gives investors an idea of whether the economy is expanding or contracting.

At the November meeting, the FOMC staff review indicated that US labor market conditions continued to strengthen and that the US economy continued to expand at a solid pace.

The October Industrial Production report was released by the Fed on November 16 and showed a continued rebound in key sectors of the US economy.

It’s important that we understand the core technology behind cryptocurrencies if we want to appreciate the ingenuity of the bitcoin creation.

The October Producer Price Index rose 0.4% month-over-month, and it was unchanged compared to the September reading. On a year-over-year basis, the index has risen 2.8%.

The latest report was released on November 3 and indicated that the goods and services deficit was $43.5 billion in September, or $0.7 billion higher than in August.

In this series, we’ll analyze each component of the Conference Board Leading Economic Index and understand its implications for the consumer discretionary (XLY), industrial (XLI), and housing (XHB) sectors and the overall market (SPY).

Kansas City Southern’s network Kansas City Southern’s (KSU) US subsidiary caters to ten US states in the Midwest and Southeast. It also runs a rail route between Kansas City, Missouri, and multiple ports along the Gulf of Mexico in Texas, Louisiana, Alabama, and Mississippi. Among the major US Class I railroads, Kansas City remains hugely […]

Since the last FOMC meeting in July, economic conditions in the US have continued to improve.

In the last few months, the performance of the US economy has been impressive. The unemployment rate fell to 4.3% in August.

3M (MMM) offers defined benefit plans to all its US employees and those outside the United States as a well. Overall, the company has 80 defined plans across 28 countries.

In addition to the sale of its Financial Assets business, General Electric (GE) bid farewell to its Appliance business in July 2016.

In the current volatile global scenario, Flowserve’s (FLS) 2Q16 revenue and net profit have risen by 11% and 28%, respectively, year-over-year.

3M Company’s (MMM) acquisition strategy for the last ten years can be classified as “BI” (before Inge) and “AI” (after Inge).

In February 2016, 3M Company (MMM) set financial objectives for the five-year period from 2016 to 2020 that were slightly below its previous expectations.

Realizing that its capital structure was sub-optimal and was leading to a high cost of capital, 3M Company started adding leverage.

3M Company’s (MMM) accruals ratios using the balance sheet and the cash flow methods rose considerably in 2015.

3M Company’s (MMM) Consumer Solutions segment is made up of four diverse businesses, which garnered a combined annual revenue of $4.4 billion in 2015.

3M Company is generating a massive 30%–32% of its annual revenue from products it’s introduced in the last five years.

While 3M’s peer group includes industrial conglomerates such as Honeywell and General Electric, these companies hardly share any similarities with 3M.

Few companies have the kind of ubiquitous presence that 3M Company (MMM) likely does in your everyday life.

Honeywell’s ACS unit uses the software-as-a-service (or SaaS) business model. In the SaaS model, software is licensed on a subscription basis to users.

Recently, United Parcel Service has broadened the service offering of UPS My Choice to 15 more countries and territories in the Americas and Europe.

In 1988, United Parcel Service (UPS) bought its Italian partner, Alimondo, a move aimed at expansion in Europe. In the same year, UPS went on an acquisition spree.

Dover Corporation (DOV) is a machinery manufacturer that operates in four diverse segments: Energy, Engineered Systems, Fluids, and Refrigeration & Food Equipment.

J.B. Hunt Transport’s (JBHT) peer group includes trucking companies that compete in the national marketplace and some of the US Class I railroads. The company updates its peer group every year.

In this part, we’ll do a Porter’s Five Forces check for Canadian National (CNI). The threat of new entrants is relatively low for CNI. The railroad industry is extensively capital intensive, with maintenance capital spending accounting for the highest share.

Competition with other railroads and other modes of transportation is subject to service rates, routes, service reliability, and quality. KSU faces the stiffest competition among the Class I railroads due to its relatively small size.

Originally incorporated in 1892, General Electric is one of the largest and most diversified industrials and financial services corporations in the world.

Alcoa’s upstream business has been gaining strength. It also has a downstream business, which produces alumina and primary aluminum.

Industrial production—or in some cases, manufacturing production—provides important input about a nation’s economic output, irrespective of its business cycle.

Over the past few years, the global courier services industry has managed to recover from the global economic slowdown.

Some of UPS’s key strengths that keep it ahead of its competitors include an integrated global network, leading-edge technology, a strong brand name, a strong culture, and impressive financials.

In the recent past, there has been a surge in the use of e-commerce across the globe. The impact of this new form of commerce has been felt in each and every industry.

The Markit PMI report serves as a business activity scorecard for the economy under survey. It provides insight into the private sector economy.

Boeing is the world’s largest aerospace company. It is the largest commercial jet manufacturer in the US and the world’s second largest behind Airbus.

The Boeing 737 is the best-selling commercial airliner in history. Reliable and economical, the 737 dominates the short- and medium-haul markets.

Strengths and weakness are internal factors within a company’s control. Opportunities and threats are external factors outside its control.

Rockwell Collins is a leader in the design, production, and support of communications and aviation electronics for commercial and military customers worldwide.

Nuclear power plants have the lowest variable costs among the three fuel types, at $11.8 per MWh (for plants coming online in 2019).

Natural gas–fired power plants are clearly the cheapest to build due to lower land requirements and faster, cheaper construction.

Coal (KOL) has fired much of the development in the US and other OECD economies in the 20th century. It’s firing growth in economies like China and India.

Boeing’s global competitors include Airbus, Embraer, and Bombardier.

The Aerospace segment is Northrop Grumman’s (NOC) highest contributor. It contributed ~41% of the company’s total third quarter revenues. The segment was still NOC’s strength.