Is this a bearish macro signal? Higher supply chain spending indicates a belief among companies that is generally bullish. In contrast, lower supply chain spending indicates a general bearish belief.
“An abrupt slowing of payments and cash flow throughout the supply chain typically indicates a waning confidence in sales,” says Jim Swift, president and CEO, Cortera.
“But we’ve seen similar spikes occur in the past, as supply chain stakeholders make significant upfront investments in preparation for the holiday shopping season. What makes this one potentially puzzling is the timing."
http://www.supplychainbrain.com/content/nc/industry-verticals/retail/single-article-page/article/supply-chain-cash-flow-slows/