U.S. Manufacturing Borrowing Less For Equipment, Nvidia Soars
Posted on 05/25/2023
Businesses borrowed 8% less year over year in April to purchase equipment. New loans, leases, and lines of credit fell to US$ 9.7 billion on the month. A report from April also indicated that manufacturers had worked through their backlogs.
Boeing CEO Dave Calhoun has been speaking publicly in recent days, saying supply chain struggles will continue to persist and biofuels will never replace jet fuel. The aerospace giant has received orders from the U.S. government for 351 T-7 jets, with the first rolling off the line in April 2023. The government will pay US$ 9.2 billion for the order. Boeing is still struggling with the 737 MAX crashes that were publicized over several years. Boeing accepted responsibility for the crashes.
Meanwhile, Nvidia was explosive today on news of increased demand for AI chips. The stock blasted 26% higher on the news. Quarterly profit jumped to US$ 2 billion in Q1 2023 and revenue was US$ 7 billion. Nvidia expects to sell US$ 11 billion in Q2.