THURSDAY, AUGUST 21, 1980
SURVEY INDICATES MODERATE BUSINESS IMPROVEMENTS
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RESULTS OF A QUARTERLY BUSINESS SURVEY HELD LAST MONTH INDICATE THAT MODERATE BUSINESS IMPROVEMENTS TOOK PLACE IN THE SECOND GUARTER OF 1980 AND A FAIR LEVEL OF CONFIDENCE FOR THE THIRD CUARTER IS MAINTAINED FOR THE ECONOMY AS A WHOLE. GROWTH AND OPTIMISM, HOWEVER, COME MAINLY FROM THE SERVICES SECTORS.
A REPORT ON THE SURVEY, COMPILED BY THE CENSUS AND STATISTICS DEPARTMENT, IS NOW ON SALE AT THE GOVERNMENT PUBLICATIONS CENTRE AT $3 A COPY.
ABOUT 900 FIRMS FROM VARIOUS INDUSTRIES, FORMING A CROSS-SECTION OF THE ECONOMIC COMMUNITY, WERE ASKED ABOUT THEIR BUSINESS EXPERIENCE IN THE SECOND QUARTER OF THIS YEAR, AND THEIR BUSINESS EXPECTATIONS FOR THE THIRD QUARTER.
IN THE MANUFACTURING DIVISION, PERFORMANCE IN THE SECOND QUARTER FELL SHORT OF PREVIOUS EXPECTATIONS GENERALLY, AND BUSINESS CONFIDENCE FOR THE THIRD QUARTER IS AT A LOW LEVEL.
THE 'TEXTILES' SECTOR REPORTED DETERIORATION IN BUSINESS IN THE SECOND QUARTER AND PREDICTS THIS TO CONTINUE INTO THE NEXT QUARTER. THE 'ELECTRONICS' SECTOR EXPERIENCED BUSINESS DECLINE IN THE SECOND QUARTER AND IS PESSIMISTIC ABOUT ITS IMMEDIATE PROSPECTS, BUSINESS CONFIDENCE OF THIS SECTOR IS PARTICULARLY WEAK COMPARED WITH THAT HELD AT THE SAME TIME LAST YEAR.
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THE 'WEARING APPAREL' 'FABRICATED METAL PRODUCTS' AND 'MISCELLANEOUS MANUFACTURING INDUSTRIES' SECTORS HAD PREVIOUSLY ANTICIPATED SUBSTANTIAL IMPROVEMENT IN THE QUARTER JUST PAST BUT THIS DID NOT MATERIALIZE. THESE SECTORS NOW PREDICT SOME DETERIORATION IN THE THIRD QUARTER.
THE 'PRINTING', 'PLASTICS' AND 'WATCHES AND CLOCKS' SECTORS DID QUITE WELL IN THE SECOND QUARTER. THE PRINTING' AND 'WATCHES AND CLOCKS' SECTORS ANTICIPATE FURTHER IMPROVEMENTS IN THE THIRD QUARTER BUT THE 'PLASTICS SECTOR PREDICTS A SLOW DOWN.
THE CONSTRUCTION INDUSTRY EXPECTS ITS STEADY BUSINESS IN THE SECOND QUARTER TO CARRY FORWARD INTO THE FOLLOWING QUARTER.
BOTH THE WHOLESALE AND RETAIL TRADE' AND 'RESTAURANTS' SECTORS HAD A LOW SECOND QUARTER. THE WHOLESALE AND RETAIL TRADE' LOOK FORWARD TO IMPROVEMENTS IN THE THIRD QUARTER. WITHIN THE 'RESTAURANTS' SECTOR, OPINIONS ABOUT PROSPECTS IN THIS QUARTER ARE VARIED, WITH AN OVERALL BALANCE ON THE 'DOWN' SIDE. THIS REPRESENTS A SUBSTANTIAL DROP IN BUSINESS CONFIDENCE COMPARED WITH A YEAR AGO. THE 'HOTELS' SECTOR EXPECTS A SLOW DOWN IN THE THIRD QUARTER. ITS PERFORMANCE IN THE PREVIOUS QUARTER WAS NOT AS GOOD AS HAD BEEN EXPECTED EARLIER.
OTHER SERVICES SECTORS ALL DID WELL IN THE SECOND QUARTER, IN LINE WITH PREVIOUS EXPECTATIONS. ABOUT THE THIRD QUARTER, THE BANKS' AND 'MISCELLANEOUS BUSINESS SERVICES' SECTORS DISPLAY MUCH CONFIDENCE WHILE THE 'TRANSPORTATION' SECTOR EXPECTS LITTLE CHANGE FROM THE PRECEEDING QUARTER.
/A SPOKES.AN