ECA index takes small dip in May but steady growth continues

Like a boat navigating choppy waters, the monthly order index compiled by the Electronic Components, Assemblies & Materials Association (ECA) continues its up-and-down pattern from month to month while sustaining a course of slow, but steady progress over the first half of this year.

"The index is a bit like the stock market - you'll go crazy if you base your readings on trends over a small period of time," says Bob Willis, ECA president.  "We keep seeing fluctuations from month to month, but there's not really any volatility - the 12-month moving average remains relatively flat with a very slight upward curve."
 
The 2004 year started with a fast growth spurt, then tapered off in the second half of the year as the market seemingly corrected itself.  This year, growth has been modest in the first half, which might make it more sustainable in the second half, according to Willis.
 
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