Fearing lean times, U.S. companies tighten purse strings
The capital spending slump that originated in the hard-hit energy sector appears to be spreading more widely across other U.S. industries.
Companies cutting or flat-lining their capital expenditures in 2016 outpace those that say they will increase spending by a factor of more than two to one, according to a Reuters analysis.
Companies in industries as diverse - and relatively strong - as healthcare, consumer goods and restaurants are among those tightening their belts in yet another sign that economic growth in 2016 may be anemic.
For instance, McDonald's Corp (MCD.N), which saw its stock jump 26.1 percent in 2015 and is trading at record levels now, said it would keep capex flat with 2015 at about $2 billion, the company's lowest budget in more than five years.
http://www.reuters.com/article/us-usa-results-capex-idUSKCN0VB0CZ
