The US leasing market experienced a 16%
decline in business from September to October yet the industry
outlook is positive according to figures from the Equipment Leasing
and Finance Association (ELFA).
The trade body’s Monthly Leasing and Finance
Index (MLFI) showed overall new business volume for October was
$6bn (€4.4bn), a 16% drop from September’s $7.1bn figure.
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The October figure is up 22% year-on-year from
$4.9bn for the same period in 2010 while the 2011 year-to-date new
business volume is up 25% on the first ten months of last year
William G. Sutton, ELFA president and chief
executive, said: “The October decline in new business volume had
more to do with typically strong end-of-third-quarter activity than
a slowing demand for lease financing of assets by US
businesses.”
The Equipment Leasing and Finance Foundation
(ELFF), non-profit affiliate to the ELFA, also released its Monthly
Confidence Index which revealed a reasonable confidence in future
conditions.
The Index takes the responses of 50 leaders
across the $628bn US leasing equipment leasing industry to
questions designed to assess business conditions.
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By GlobalDataThe November score of 57.4 is an increase from
the October index of 50.7 and 95% of contributors to the Confidence
Index said they expect demand to either stay the same of improve
over next four months.
grant.collinson@vrlfinancialnews.com
