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U.S. Box Demand Declines

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In October, U.S. box shipments fell 2.4% y/y, reports Mark Wilde of Deutsche Bank. "This is at the low-end of our forecasted range (-0.5% to -2.5% y/y). While no one expected great October volumes, the 2.4% y/y drop is clearly weak. The dip is even more striking given October's 56.4 ISM reading," he noted.

Historically, Wilde added, a strong ISM reading translates into healthy box demand. YTD, box shipments are essentially flat, down 0.3% y/y but up 0.2% on average week basis.


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