© Reuters. FILE PHOTO: A worker sits at his desk in an office building in Washington, U.S., August 3, 2018. REUTERS/Brian Snyder/File Photo
(This Jan. 24 story has been corrected to say cumulative borrowings were up, not borrowings, in the second paragraph)
(Reuters) – U.S. companies borrowed 9% more in December to finance equipment investments compared with a year earlier, industry body Equipment Leasing and Finance Association (ELFA) said on Tuesday.
The companies signed up for $12.9 billion in new loans, leases and lines of credit last month, compared with $11.8 billion a year earlier, according to ELFA. Cumulative borrowings were up 6% from January 2022.
ELFA, which reports economic activity for the $1 trillion equipment finance sector, said credit approvals totaled 76.6% in December, down from 77.7% in November.
“Not knowing yet the full impact of the Fed’s series of rapid rate increases on the economy, I believe many companies will start the year with more focus on credit quality and spreads versus origination volume,” said AP Equipment Financing’s president, Chris Lerma.
Washington-based ELFA’s leasing and finance index measures the volume of commercial equipment financed in the United States.
The index is based on a survey of 25 members, including Bank of America Corp (NYSE:), and financing affiliates or units of Caterpillar Inc (NYSE:), Dell Technologies (NYSE:) Inc, Siemens AG (OTC:), Canon Inc and Volvo AB (OTC:).
The Equipment Leasing & Finance Foundation, ELFA’s non-profit affiliate, said its confidence index in January stood at 48.5, an increase from 45.9 in December. A reading above 50 indicates a positive business outlook.
Flaunt Weeekly CISOs face a now not easy balancing act. They have to supply protection…
Flaunt Weeekly July 24, 2023 8:00 AMOverlooked the GamesBeat Summit excitement? Develop now not effort!…
Flaunt Weeekly As one in all Engadget’s resident cell geeks, I’ve reviewed dozens of midrange…
Flaunt Weeekly Are you tempted by an air fryer, but disaster you would ultimate-looking out…
Flaunt Weeekly SoccerAfter lacking out on Lionel Messi, Saudi Arabian soccer team Al-Hilal made a…
Flaunt Weeekly TorontoDeputy High Minister Chrystia Freeland has rejected a seek recordsdata from from Toronto’s new mayor for…