Friday, October 31, 2014

10 Best Chemical Stocks To Watch Right Now

Emerging-market stocks advanced to a three-month high as China�� industrial production data beat estimates and concern over a U.S.-led strike in Syria eased. India�� rupee capped the biggest four-day gain since 1973.

The MSCI Emerging Markets Index added 1.8 percent to 991.36. The iShares MSCI Emerging Markets Index exchange-traded fund capped the longest rally since 2004. (EEM) Benchmark equity gauges from India to Turkey (XU100) and South Africa rose at least 1.8 percent, while the Hang Seng China Enterprises Index entered a bull market. Dubai�� DFM General Index posted the biggest increase among world stock measures. The rupee led gains among the 24 developing-nation currencies tracked by Bloomberg.

Stocks in emerging markets advanced for a fifth straight day after data showed China�� industrial output grew at the fastest pace in 17 months in August and the broadest measure of new credit almost doubled from July. West Texas Intermediate crude tumbled as Syria agreed to a Russian plan to surrender its chemical weapons, easing concern of a U.S. strike.

Top 10 Dividend Companies To Buy Right Now: Huntsman Corporation(HUN)

Huntsman Corporation engages in the manufacture and sale of differentiated organic and inorganic chemical products worldwide. The company offers polyurethane chemicals, including methyl diphenyl diisocyanate, propylene oxide, polyols, propylene glycol, thermoplastic polyurethane, aniline, and methyl tertiary-butyl ether products, which are used to produce rigid and flexible foams, as well as coatings, adhesives, sealants, and elastomers; and performance products, such as amines, carbonates, surfactants, linear alkyl benzene, maleic anhydride, performance chemicals, ethylene glycol, olefins, and technology licenses. It also provides advanced materials comprising epoxy resin compounds and formulations; cross-linking, matting agents, and curing agents; and epoxy, acrylic and polyurethane-based adhesives, and tooling resin formulations. In addition, Huntsman Corporation offers textile chemicals, dyes, and titanium dioxide. The company?s products are used in various applicatio ns, including adhesives, aerospace, automotive, construction products, durable and non-durable consumer products, electronics, medical, packaging, paints and coatings, power generation, refining, synthetic fiber, textile chemicals, and dye industries. Huntsman Corporation was founded in 1970 and is based in Salt Lake City, Utah.

Advisors' Opinion:
  • [By Dan Caplinger]

    Another source of potential problems is the titanium dioxide market. DuPont has made substantial investments in boosting TiO2 production based on the extremely high demand seen a couple of years ago, but buyers stockpiled substantial amounts of the chemical in order to avoid paying ever-higher prices. DuPont joined competitors Huntsman (NYSE: HUN  ) and Tronox (NYSE: TROX  ) in implementing TiO2 price increases, with DuPont's effective July 1, but the question remains whether the paint makers that need the chemical will keep buying or continue to seek cheaper substitutes.

  • [By Lauren Pollock]

    Among the companies with shares expected to actively trade in Tuesday’s session are Cummins Inc.(CMI), Actavis(ACT) PLC and Huntsman Corp.(HUN)

10 Best Chemical Stocks To Watch Right Now: Axiall Corp (AXLL)

Axiall Corporation (Axiall), formerly Georgia Gulf Corporation, incorporated on April 16, 1984, is a manufacturer and an international marketer of chlorovinyl and aromatic chemicals and also manufacture and market vinyl-based building and home improvement products. The Company operates in three business segments: Chlorovinyls segment consists of two product groups: Electrovinyls products, which are composed of chlorine, caustic soda, ethylene dichloride (EDC), vinyl chloride monomer (VCM), and vinyl resins; and Compound products, which are composed of vinyl compounds, compound additives and plasticizers; Building Products segment consists of two primary product groups: Window and Door Profiles and Mouldings, and Outdoor Building Products, which consists of siding, pipe and pipe fittings and deck, fence and rail products, and Aromatics segment also contains two commodity chemical product groups: cumene; and phenol and acetone. In January 2013, the combined company formed by uniting Georgia Gulf with PPG's former commodity chemicals business is named Axiall Corporation.

Chlorovinyls segment

The chlorovinyls segment consists of an integrated chain of products, which including chlor-alkali and derivative products (chlorine, caustic soda, vinyl chloride monomer (VCM), vinyl resins, ethylene dichloride, chlorinated solvents, calcium hypochlorite, hydrochloric acid and phosgene derivatives and compound products (vinyl compounds and compound additives and plasticizers). In North America, the Company is one of the producers of VCM, vinyl resins, and vinyl compounds.

During the year ended December 31, 2012, approximately 45%t of its vinyl resins production was sold into the United States and Canadian merchant markets where its vinyl resins were used in a variety of flexible and rigid vinyl end-use applications. During 2012, the largest end-uses of its products were for pipe and pipe fittings, siding, extruded sheet and film and window profiles. Approximately 24% of its pro! duction was sold into the export market, and approximately 31% of its vinyl resins were used internally in the manufacture of its vinyl compounds and vinyl building products. During 2012, the Company used substantially all of its VCM production in the manufacture of vinyl resins in its PVC manufacturing operations. The Company sells all of its caustic soda to customers domestically and overseas in numerous industries, with the pulp and paper, chemical and alumina industries constituting its markets. Other markets for its caustic soda include soap and detergents and the water treatment industries.

Vinyl compounds are highly customized formulations that offer specific end-use properties based on customer-determined manufacturing specifications that enable its customers to utilize them directly in their manufacturing processes to fabricate their finished products. The Company produces flexible and rigid compounds, which are used in many different applications, including wire and cable insulation and jacketing, electrical outlet boxes and pipe fittings, window and furniture profiles and food-grade and general-purpose bottles. It also supplies chlorinated vinyl compounds (CPVC), to the extrusion and injection molding markets, mainly for production of hot water pipe and pipe fittings. The Company produces lubricants, stabilizers, impact modifiers and process aids used in the production of compounds, and which are part of the typical compound formulations. The majority of its additives and plasticizers are consumed internally.

Building Products Segment

The Window and Door Profiles and Mouldings Products have a level of customization based on customer specifications, whereas Outdoor Building Products are based more on industry standards. The Company manufactures and extrude vinyl window profiles, including frames, sashes, trim and other components, as well as vinyl patio door components and fabricated patio doors, which are sold primarily to window and door fabricators. I! ts sales ! are primarily to the custom segment of the vinyl window profile market with the profile design customized to a window fabricator's specific requirements. It manufactures and markets extruded decorative mouldings and millwork. Its decorative trim products are used for interior mouldings, such as crown, base and chair rail. For exterior mouldings, its products are used in applications, such as brick mouldings, and as components used in the fabrication of doors, windows and spas. This product line includes a series of offerings, such as bendable trim and paintable/stainable trim.

The Company�� outdoor building products (OBP) include siding; pipe and pipe fittings; and deck, fence, and rail. It manufactures vinyl siding, and it also offers a range of accessories, including vinyl soffit, aluminum soffit, fascia and trim and molded vent mounts and exterior shutters. These additional product offerings to its existing offerings include rich, dark, color-fast shades, as well as a siding system, which enables siding panels to withstand harsh wind conditions. It manufactures pipe and pipe fittings for the municipal and electrical markets, as well as pipe for plumbing applications. Its municipal pipe and pipe fittings product lines are used in potable water applications, as well as in storm and sewer applications. Its plumbing lines are used in residential and industrial applications to move storm and sanitary wastewater from the building to the municipal sewer at the property line. This product line is focused on at drain, waste and vent applications. Electrical, pipe, conduit and fittings are available in a range of sizes and configurations, to meet the needs of both commercial and residential applications.

The Company manufactures vinyl deck products that are sold by distributors and used primarily by professionally installed market segments. The Company�� deck product lines are positioned as a lower-maintenance alternative to conventional wood products.

Aromatics Seg! ment

The aromatics segment is integrated and consists of cumene and phenol/acetone products. Phenol/acetone products are co-products made from cumene in the same production process. The Company�� aromatic products are primarily commodity based products. It operates cumene plant located in Pasadena, Texas. About 28 % of its cumene was consumed internally, during 2012, to produce phenol and acetone. Cumene is used as an intermediate to make phenol and acetone and specialty chemicals and can be sold as an additive for gasoline blending.

Phenol is sold to a base of customers who are producers of a range of phenolic resins, engineering plastics and specialty chemicals. Phenolic resins are used as adhesives for wood products, such as plywood and Oriented Strand Board (OSB). Engineering plastics are used in compact discs, digital video discs, automobiles, household appliances, electronics and protective coating applications. It also sells phenol for use in insulation, electrical parts, oil additives and chemical intermediates. Acetone is a chemical used primarily in the production of acrylic resins, engineering plastics and industrial solvents. The Company sells the majority of its acetone into the acrylic resins market, where it is used in the manufacture of various plastics and coatings used for signage, automotive parts, household appliances, paints and industrial coatings. Other uses range from solvents for automotive and industrial applications to pharmaceuticals and cosmetics.

Advisors' Opinion:
  • [By Lisa Levin]

    This industry tumbled 1.57% by 11:00 am. The worst stock within the industry was Axiall (NYSE: AXLL), which fell 2.7%. Axiall's trailing-twelve-month EPS is $1.59.

  • [By Jake L'Ecuyer]

    Leading and Lagging Sectors
    In trading on Thursday, basic materials shares were relative leaders, up on the day by about 1.20 percent. Among the leading sector stocks, gains came from Axiall (NYSE: AXLL), Materion (NYSE: MTRN), Huntsman (NYSE: HUN) and Joy Global (NYSE: JOY).

10 Best Chemical Stocks To Watch Right Now: Eastman Chemical Company (EMN)

Eastman Chemical Company, a chemical company, engages in the manufacture and sale of chemicals, plastics, and fibers in the United States and internationally. The company operates in four segments: Coatings, Adhesives, Specialty Polymers, and Inks (CASPI); Fibers; Performance Chemicals and Intermediates (PCI); and Specialty Plastics. The CASPI segment manufactures resins, specialty polymers, and solvents that are used in the production of paints and coatings, inks, adhesives, and other formulated products. The Fibers segment offers Estron acetate tow and Estrobond triacetin plasticizers used in cigarette filters; Estron natural and Chromspun solution-dyed acetate yarns for use in apparel, home furnishings, and industrial fabrics; and cellulose acetate flake and acetyl raw materials for acetate fiber producers. The PCI segment offers intermediates; performance chemicals; and complex organic molecules, such as diketene derivatives, specialty ketones, and specialty anhydrides for medical, pharmaceutical, fiber, and food and beverage ingredients, which are used in specialty market applications. This segment?s products are used in various markets and end uses, including agriculture, transportation, beverages, nutrition, pharmaceuticals, coatings, medical devices, toys, adhesives, household products, polymers, textiles, and consumer and industrial products, as well as used for health and wellness uses. The Specialty Plastics segment primarily offers engineering and specialty polymers, specialty film and sheet products, and packaging film and fiber products. This segment?s products include specialty copolyesters and cellulosic plastics, which are used in specialty packaging, in-store fixtures and displays, consumer and durable goods, medical goods, personal care and consumer packaging, photographic film, optical film, fibers/nonwovens, tapes/labels, and LCD?s. The company was founded in 1920 and is headquartered in Kingsport, Tennessee.

Advisors' Opinion:
  • [By Monica Gerson]

    Eastman Chemical Co (NYSE: EMN) is expected to post its Q3 earnings at $1.64 per share on revenue of $2.34 billion.

    Potash Corp. of Saskatchewan (NYSE: POT) is projected to report its Q3 earnings at $0.43 per share on revenue of $1.53 billion.

  • [By Seth Jayson]

    Eastman Chemical (NYSE: EMN  ) is expected to report Q2 earnings on July 29. Here's what Wall Street wants to see:

    The 10-second takeaway
    Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Eastman Chemical's revenues will increase 29.2% and EPS will expand 17.1%.

  • [By Victor Selva] e exception. The firm has made an emphasis on its acetate tow production, mainly used for cigarettes. The company stands out for using coal as its input, in contrast with other competitors using petroleum and gas, both more expensive for production. This mark up has allowed Eastman to transfer some of its increasing costs onto prices, �without compromising its sales revenue.

    In addition to this, the acquisition of Solutia Inc. (former global leader in performance materials) completed on July 2, 2012, broadened Eastman�� specialty chemicals output by adding automotive and solar end products to its portfolio.

    Although Eastman is a highly diversified company, it has proven to be severely affected by negative cycles of the economy. Even though this feature is not appealing whatsoever to investments, it certainly has caused it to become a cheap alternative. And, a quite promising one, since the economic recovery boosted its revenue, as a result of Eastman�� focus on cost-advantage production methods.

    Other specialty chemical competitors, such as Ashland Incorporated (ASH) didn�� show such a promising comeback, and the drop in revenue during 2012 was anticipated by investor Jean-Marie Eveillard (Trades, Portfolio), who sold out his 3.9 million share position by the third quarter of that year.

    Another industry giant, Huntsman Corporation (HUN) did show more promising results, and less volatile revenues during these last years. This, of course, has led to a high price to earnings ratio discouraging investors as we see later.

    Geographically Diversified

    On 2012, almost 50% of Eastman sales were generated in North America, while more than 25% were in Asia and 20% in Europe, Middle East and Africa. This diversification is to be taken into account since it guarantees long-term revenue, even if cigarette consumption decreases in some specific region (for instance, American sales declined �in recent years),

10 Best Chemical Stocks To Watch Right Now: Koppers Holdings Inc (KOP)

Koppers Holdings Inc. (Koppers), incorporated on November 12, 2004,is a global provider of carbon compounds and commercial wood treatment products and services. The Company's products are used in a variety of niche applications in a diverse range of end-markets, including the aluminum, railroad, specialty chemical, utility, concrete and steel industries. The Company serves its customers through a global manufacturing and distribution networks, with manufacturing facilities located in the United States, Australia, China, the United Kingdom, the Netherlands and Denmark. The Company operates in two business segments: Carbon Materials & Chemicals and railroads & Utility Products.

The Company's operations are, to a substantial extent, vertically integrated. Through the Company's Carbon Materials & Chemicals business, the Company processes coal tar into a variety of products, including carbon pitch, creosote, naphthalene and phthalic anhydride, which are intermediate materials necessary in the production of aluminum, the pressure treatment of wood, the production of high-strength concrete, and the production of plasticizers and specialty chemicals, respectively. Through the Company's Railroad & Utility Products business, the Company believes that the Company is thesupplier of railroad crossties to the North American railroads.

Carbon Materials & Chemicals

Carbon pitch, naphthalene, and creosote are produced through the distillation of coal tar, a by-product generated through the processing of coal into coke for use in steel and iron manufacturing. Coal tar distillation involves the conversion of coal tar into a variety of intermediate chemical products in processes beginning with distillation. During the distillation process, heat and vacuum are utilized to separate coal tar into three primary components: carbon pitch (approximately 50%), chemical oils (approximately 20%) and creosote (approximately 30%).

The Company's Carbon Materials & Chemicals business! (CM&C) manufactures principal products, including carbon pitch, a critical raw material used in the production of aluminum and steel; naphthalene, used for the production of phthalic anhydride and as a surfactant in the production of concrete; phthalic anhydride, used in the production of plasticizers, polyester resins and alkyd paints, and creosote and carbon black feedstock, used in the treatment of wood or as a feedstock in the production of carbon black. The Company also uses naphthalene as a feedstock in the manufacture of phthalic anhydride. The primary markets for phthalic anhydride are in the production of plasticizers, unsaturated polyester resins and alkyd resins. The Company is a producer of carbon pitch for the aluminum industry.

Creosote is used as a commercial wood treatment chemical to preserve railroad crossties and lumber, utility poles and piling. The majority of the Company's domestically produced creosote is sold to its Railroad & Utility Products business. In Australia, China and Europe, creosote is sold primarily into the carbon black market for use as a feedstock in the production of carbon black. In Europe and China creosote is also sold to wood treaters. The Company's wood treating plants in the United States purchase substantially all of their creosote from the Company's tar distillation plants.

Other products include the sale of refined tars, benzole and specialty chemicals. The Company's CM&C business manufactures its primary products and sells them directly to the Company's global customer base under long-term contracts or through purchase orders negotiated by its regional sales personnel and coordinated through its global marketing group in the United States. The Company's nine coal tar distillation facilities including joint ventures and four carbon materials terminals give the Company the ability to offer customers multiple sourcing and a consistent supply of products.

Railroad & Utility Products

The Company's Railroad ! & Utility! Products business (R&UP) sells treated and untreated wood products, rail joint bars and services primarily to the railroad and public utility markets in the United States and Australia. The Company also produces concrete crossties, a complementary product to its wood treatment business, through a joint venture in the United States.

Railroad products include procuring and treating items such as crossties, switch ties and various types of lumber used for railroad bridges and crossings. Railroad products also include manufacturing and selling rail joint bars, which are steel bars used to join rails together for railroads. Utility products include transmission and distribution poles for electric and telephone utilities and piling used in industrial foundations, beach housing, docks and piers. The R&UP business operates 13 wood treating plants, one rail joint bar manufacturing facility, one co-generation facility and 13 pole distribution yards located throughout the United States and Australia. The Company's network of plants is strategically located near timber supplies to enable the Company to access raw materials and service customers effectively. In addition, the Company's crosstie treating plants are typically adjacent to its railroad customers' track lines, and its pole distribution yards are typically located near its utility customers.

In the United States, hardwood lumber is procured by the Company from hundreds of small sawmills throughout the northeastern, midwestern and southern areas of the country. The crossties are shipped via rail car or trucked directly to one of the Company's crosstie treating plants, all of which are on line with a railroad. The crossties are either air-stacked for a period of six to twelve months or artificially dried by a process called boultonizing. Once dried, the crossties are pressure treated with creosote, a product of the Company's CM&C business.

The Company's R&UP business' customer base is the North American Class I railroa! d market,! which buys approximately 80% of all crossties produced in the United States and Canada. The Company also has relationships with many of the approximately 550 short-line and regional rail lines. This also forms the customer base for the Company's rail joint bar products. The railroad crosstie market is a mature market with approximately 23 million replacement crossties (both wood and non-wood) purchased during 2012. The Company supplies all seven of the North American Class I railroads and have contracts with six of them. The Company treats poles with a variety of preservatives, including pentachlorophenol, copper chrome arsenates and creosotes .In the United States the market for utility pole products is characterized by a number of small producers selling into a price-sensitive industry. The utility pole market is fragmented domestically, with over 200 investor-owned electric and telephone utilities and 2,900 smaller municipal utilities and rural electric associations.

Advisors' Opinion:
  • [By Jeremy Bowman]

    What: Shares of Koppers Holdings (NYSE: KOP  ) were looking rusty today, falling as much as 12% after the company cut its outlook for the current quarter.

10 Best Chemical Stocks To Watch Right Now: Johnson Matthey PLC (JMAT)

Johnson Matthey Plc is a global specialty chemicals company operating in three divisions: Environmental Technologies, Precious Metal Products and Fine Chemicals. Environmental Technologies is a supplier of catalysts and related technologies for applications, such as pollution control, cleaner fuel, hydrocarbons and the hydrogen economy. Precious Metal Products��activities comprise the marketing, distribution, refining and recycling of platinum group metals (pgms), fabrication of products using precious metals and related materials, manufactures pgm and base metal catalysts and pgm chemicals. Fine Chemicals is a supplier of active pharmaceutical ingredients, fine chemicals and other specialty chemical products and services to chemical and pharmaceutical industry�� customer supplier of catalysts. In March 2012, Endo Pharmaceuticals Holdings Inc. acquired U.S. patent 7,851,482 B2 for oxymorphone hydrochloride from the Company. In March 2013, the Company acquired Formox AB. Advisors' Opinion:
  • [By Namitha Jagadeesh]

    British American Tobacco Plc and Imperial Tobacco Group Plc (IMT) each lost at least 1.5 percent as American peer Philip Morris International Inc. forecast 2014 profit growth below its long-term target. Antofagasta Plc (ANTO) and Vedanta Resources Plc (VED) followed miners lower, sliding at least 2 percent. Johnson Matthey Plc (JMAT) gained 3.9 percent after posting better-than-forecast profit and raising its dividend.

10 Best Chemical Stocks To Watch Right Now: Zoltek Companies Inc (ZOLT)

Zoltek Companies, Inc. is a holding company, which operates through wholly owned subsidiaries, Zoltek Corporation, Zoltek Zrt., Zoltek de Mexico SA de CV, Zoltek de Occidente SA de CV, Engineering Technology Corporation (Entec Composite Machines), Zoltek Properties, Inc., and Zoltek Automotive, LLC. Zoltek Corporation (Zoltek) develops, manufactures and markets carbon fibers and technical fibers in the United States. The Company is an applied technology and advanced materials company. It commercialization of carbon fiber through composites used in a range of commercial products, which it sells under the Panex trade name. In addition to manufacturing carbon fiber, it produces an intermediate product, a stabilized and oxidized acrylic fiber used in flame- and heat-resistant applications, which it sells under the Pyron trade name. During fiscal year ended September 30, 2011 (fiscal 2011), its net sales to Vestas Wind Systems, a wind turbine manufacturer represented % of its net sales. In October 2011, Zoltek purchased a building in St. Peters, Missouri to house its prepreg operations.

Zoltek Zrt. is a Hungarian subsidiary that manufactures and markets carbon fibers and technical fibers and manufactures acrylic fiber precursor raw material used in production of carbon fibers and technical fibers. Zoltek de Mexico SA de CV and Zoltek de Occidente SA de CV are Mexican subsidiaries that manufacture carbon fiber and precursor raw material. Entec Composite Machines manufactures and markets filament winding and pultrusion equipment used in the production composite parts. The Company�� sales markets are in Europe and the United States. The Company has manufacturing plants in Nyergesujfalu, Hungary, Guadalajara, Mexico, Abilene, Texas and St. Charles, Missouri. Its Texas plant houses carbon fiber manufacturing lines and value-added processing capabilities. Its Missouri plant is engaged in the production of technical fibers for aircraft brake and other friction applications and also produces limited! amounts of carbon fibers. In addition, it has facilities in Salt Lake City, Utah where it designs and builds composite manufacturing equipment and produce resin pre-impregnated carbon fibers, called prepregs. It performs certain downstream processing, such as weaving, knitting, blending with other fibers, chopping and milling and preparation of pre-form, pre-cut stacks of fabric. In addition, its Salt Lake City-based Entec Composite Machines subsidiary designs and builds composite manufacturing equipment and markets the equipment along with manufacturing technology and materials. It also provides composite design and engineering for development of applications for carbon fiber reinforced composites.

The Company competes with Hexcel Corporation, Cytec Industries, Toray Group, Toho Tenax, Mitsubishi Chemical and SGL Carbon.

Advisors' Opinion:
  • [By Maxx Chatsko]

    3. Zoltek (NASDAQ: ZOLT  )
    Zoltek was an interesting investment at the beginning of the year for futurist investors. The company is one of the largest manufacturers of carbon fiber in the world. In fact, its lightweight and high-strength carbon fiber is used almost exclusively in the largest wind turbine blades around the world and played a major role in America's 20-fold improvement in breezy energy capacity since 2000. This material of the future has many other uses and potential uses as well, but Zoltek has never really gained the confidence of the market in any big way: Its market cap was hovering near $300 million at the start of the year.

10 Best Chemical Stocks To Watch Right Now: Lanxess AG (LXS)

Lanxess AG is a Germany-based chemical holding company. Its activities are divided into three main segments. The Performance Polymers segment encompasses the activities of the Lanxess Group in the production of rubber and plastics, and includes Butyl Rubbers, Performance Butadiene Rubbers, Technical Rubber Products and Semi-Crystalline Products business units. The Advanced Intermediates segment is engaged in the development, production and marketing of industrial and fine chemicals and includes Basic Chemicals and Saltigo business units. The Performance Chemicals segment combines the Group's application-oriented activities in the field of process and functional chemicals, and includes Material Protection Products, Inorganic Pigments, Functional Chemicals, Leather, Rhein Chemie, Rubber Chemicals and Ion Exchange Resins business units. The Company operates worldwide through its subsidiaries. Advisors' Opinion:
  • [By Jonathan Morgan]

    Lanxess AG (LXS), which makes specialty chemicals, plastics, and rubber used in car tires, jumped 6.6 percent to 57.21 euros. Michelin & Cie, Europe�� largest tiremaker, today reiterated its 2013 profit forecast as growing demand for high-margin tires for mining vehicles helps offset declining demand in Europe.

  • [By Sofia Horta e Costa]

    ThyssenKrupp AG (TKA), Germany�� largest steelmaker, rose to a five-week high. YOC AG (YOC) surged the most in more than three months after the mobile-phone advertising company said it sold 1.3 million euros ($1.7 million) of shares to increase capital. Lanxess AG (LXS), the chemical maker that joined the DAX in September, retreated 3.4 percent.

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