Annual Change In US Capital Spending Remains Below Long-Term Trend

From The Wall Street Journal, "U.S. Manufacturing Is Rolling on Aged Wheels: Companies Skimp on Industrial Equipment While Pursuing Deals and Share Buybacks" by James R Hagerty:

Even as economic indicators rise, domestic capital spending has remained anemic by historical standards, especially in manufacturing.***The average age of industrial equipment in the U.S. has risen above 10 years, the highest since 1938, economists at Morgan Stanley said in a recent report.

The growth of all types of capital spending by U.S. firms grew just 3% last year, far below the long-term average of more than 8%, Morgan Stanley says. The firm sees only modest improvement ahead: 3.8% growth this year and 5.3% in 2015.

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Source: The Wall Street Journal