23 May 2019

2019- n° 135

In May 2019, the business climate is stable in wholesale trade Bi-monthly survey of wholesaling - May 2019

According to the managers surveyed in May 2019, the business climate is stable in the wholesale trade sector. The composite indicator stands at 106, well above its long-term average (100).

In May 2019 slightly fewer wholesalers than in March have indicated that their past sales and their received merchandise over the past two months were above normal. The corresponding balances of opinion have edged down but stand well above their long-term average. The balance about export sales is stable, that on merchandise received from abroad has risen again moderately.

In May, wholesalers are slightly more optimistic than in March about the general business outlook for the sector. The balance related to ordering intentions is stable. The balances about shipments abroad and ordering intentions from abroad have slightly fallen back. All these balances remain above their long-term average.

The balance of opinion concerning past employment has declined. That concerning expected workforce is stable. The two balances stand above their long-term average.

The balances regarding prices had dropped sharply between November 2018 and January 2019 and have changed little since. In May, as many wholesalers as in March have declared that they expect a rise in their selling prices rather than a decrease. They are slightly fewer than in March to observe a recent rise in their prices. The two related balances of opinion stay well below their long-term average.

Almost as many wholesalers as in March consider their cash position to be favourable. The related balance stands above its long-term average.

The turning-point indicator stays in the area indicating a favourable short-term economic situation.

In the agricultural wholesale sector, the balance of opinion on export sales has picked up sharply. It had considerably dropped from March to July 2018 and had stayed low since. The balances related to merchandise received from abroad, ordering intentions and current stocks have moderately fallen back, that related to past sales is stable. Balances related to sales and purchases remain below their average.

In the food wholesaling sector, the balances of opinion regarding sales are stable or almost. The balance concerning imports has bounced back strongly and stands above its November 2018 level. That on ordering intentions has slightly decreased.

In the wholesale of household goods sector, the balances of opinion related to sales and purchases had sharply picked up in March. In May, the balances about sales have fallen back to their average level, or even slightly below it. The balances regarding purchases remain well above their average level.

In wholesale trade for this type of capital goods, the balances of opinion about past sales, total and abroad, have declined in May after a sharp rebound in March. The balance about imports has considerably decreased after a high point in March. All balances stand above their long term average. The balance about current stocks stays at a high level, well above its average.

In this type of wholesale trade, the balance related to export sales has fallen back. The balances about total sales, imports, ordering intentions and current stocks have gone up. All balances stand above their average.

In this sector, slightly more managers than in March have declared a rise in their past total sales and their ordering intentions. Regarding recent foreign exchanges, the balance on export sales has rallied while staying below its average whereas that on imports has edged down but stays above its average.