Q4 Paper Outlook — Caution in a Moderate Market

"We have a moderate market at present and, on the horizon, there are no strong indications of rising paper prices for the remainder of this year," he reports. "That's encouraging news for those commercial printers budgeting paper for 1999."

Just Above Inflation
Janis recommends that budgets be conservative when it comes to forecasting paper expenditures for the coming year. Allow for an anticipated increase of roughly 4 percent going into 1999, he advises, which will be just a touch above inflation. "At this point, we are deep into the business cycle, so, looking at inventories for the remainder of the year and into 1999, it's wise to budget for reasonable purchases—and there is no reason to take on anything past 30 days."