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US companies capital investment rises 21%

Reuters
25 Sep 2021 00:00:00 | Update: 25 Sep 2021 00:14:00
US companies capital investment rises 21%

Borrowings by US companies for capital investments rose 21 per cent in August from a year earlier, the Equipment Leasing and Finance Association (ELFA) said on Thursday.

The companies signed up for $8.5 billion in new loans, leases and lines of credit last month, up from $7 billion a year earlier. However, borrowings fell 14% from the previous month.

“August data show some softness in equipment demand resulting from a mix of summer doldrums, continued supply chain disruptions and lingering pandemic-related woes,” ELFA Chief Executive Officer Ralph Petta said in a statement. Business optimism, which peaked earlier in the summer, also has waned somewhat.”

ELFA’s leasing and finance index measures the volume of commercial equipment financed in the United States.

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