Omega Management logo

Blog

How Low Demand for Cardboard Boxes Could Signal a Recession

There are many factors at play when trying to predict a possible recession. To help you understand what is going on and what we expect to happen in the future, our highly-experienced Kiplinger Letter team will keep you abreast of the latest developments and forecasts (Get a free issue of The Kiplinger Letter or subscribe). You’ll get all the latest news first by subscribing, but we will publish many (but not all) of the forecasts a few days afterward online. Here’s the latest…

One economic indicator that may be signaling an oncoming recession: the soft demand for cardboard boxes. Data from the Fibre Box Assn. suggest that demand for corrugated liner board — what most cardboard boxes are made from — has fallen in line with previous recessions, though it hasn’t quite reached the depths of the 2008-09 downturn. Meanwhile, the American Forest and Paper Assn. reports that total boxboard production was down 5% in the first…

Read more…