Slowing Seen in Illinois Tool Works-Parker Hannifin: Economy

Illinois Tool Works Inc. and Parker Hannifin Corp., which will be releasing their quarterly results next month, are showing why the U.S. economy is maintaining a slow expansion.

Both could see their total revenue fall “slightly,” primarily because of “adverse currency translation” and also because of disappointing sales in Europe and Asia, according to Robert McCarthy, a senior analyst with Robert W. Baird & Co. in Chicago. While it’s “incrementally more difficult” to forecast order growth in North America, it probably didn’t contract for either company in the three months ending Sept. 30, as this business segment continues to expand, he said.