Tatum/Roulston Report

This month’s business conditions as reported in the Tatum Survey reflect the uncertainty corporations feel today. Confusing politics, an overwhelming media information flow and an increasingly complex international matrix continues to seemingly confuse directions. Regulation, health care and taxation seem to be the focus of virtually every company we talk to in interviews. Washington provides little direction and leadership. Actions reflect ineptitude dealing with oil spills, immigration or any other issue of the moment resulting in a general feeling of incompetence in resolving challenges we face today. The Tatum Survey once again reflects the mixed signals businesses feel in this environment. Orders, backlogs and employment show a mixed report of confusion of businesses that don’t seem to know how to look forward. Hiring in particular just seems to be the lightening rod of the frustration. Increasingly, it is the barometer both the markets and economists are focused on to cite how businesses in absence of clarity are hesitating to move forward.

It used to be as the US goes the world followed. Although this is still important, there are new factors influenced by emerging markets demand for products and services. This change and the technology revolution happening worldwide continue to impress us as underlying support for the economy and an important cog in the wheel that in the past became overly dependent on the US consumer. As the consumer deleverages and the government impact becomes more regulatory and less stimulative, the outlook will remain cloudy and confusing. Recent European debt concerns show us all where current trends can lead, and the markets responded to this with a sense of realization and questioning of “now what?” The age old question of inflation /deflation and growth/stagnation is in the air. Without the consumer, housing, such an important part of past cyclical growth in place, the new economy needs to truly become defined for the current frustration to disappear. The slam to the financial system has hurt confidence and investor apathy is prevalent. How do we grow wealth? This is a question that investors must be able to define to move forward.

Tatum LLC is a nationwide firm specializing in the providing financial and information technology services and executive fulfillment to companies across the country. This joint effort with Tatum is a unique partnership that will provide a differentiated view of business trends - The Tatum/ Roulston Report.

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