Caterpillar Lowers Revenue Forecast Amid Machinery Demand Slump As Inflation, Interest Rates Dampen Demand

Benzinga 2024-10-30

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Caterpillar announced on Wednesday that it anticipates its full-year revenue will be lower than previously forecasted due to rising borrowing costs and persistent inflation. The company briefly benefited from increased demand following President Biden’s 2021 $1 trillion infrastructure law, but that demand surge has slowed. Inflation concerns, declining farm incomes, and elevated manufacturing costs press machinery makers to reduce product inventories and moderate production levels.

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