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Inventory Adjustments Of Semiconductor Will Be Continued Unt

Semiconductor manufacturers have previously declared in the third quarter customer would adjust inventory which also results in not busy season, at the end of the third quarter, september, the general market expectations, inventory levels should have been reduced. However, international research and consultancy company Gartner has said that because of the sluggish economy, the current inventory level is still too high, the inventory days of semiconductor  (DOI) is expected to reach the high level of concern in the third quarter,consumers and business spending may be weaker than expected, and it is estimated that for the next few quarters it will adjust inventory,until the second quarter of 2012 it will return to equilibrium.
 The senior analyst of Gartner, GeraldVanHoy said the inventory levels of semiconductor industry in the third quarter of 2011 is higher, but because of the sluggish economy, the current inventory level is still too high, the industry must control the increase in production and take measures to reduce the cumulative inventory. He expects in the next few quarters inventory adjustment will be continued, leaving the production and sales in the second quarter of 2012 to resume a rough balance.The analysts from Gartner said in the next few quarters, the semiconductor industry inventory correction will be moderate, which will reduce the demand for semiconductor production at the second half of 2011 and early 2012. The conclusion of Gartner  gets the support  the supply from GIIST, the DOI index at the third quarter of 2011 is 1.12, up to alert level.In GIIST, if DOI is higher than 1.10,it means the stock inventory is too high, average selling prices may face downward pressure. If the index is lower than 0.95, showing low inventory levels, components may be implemented distribution, and began to repeat orders.

    
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