Economic activity in the U.S. manufacturing sector expanded in October for the second consecutive month following three months of slight contraction, and the overall economy grew for the 41st consecutive month, say the nation's supply executives in the latest Manufacturing ISM Report On Business. The report was issued this week by Bradley J. Holcomb, chair of the Institute for Supply Management's Manufacturing Business Survey Committee, Tempe, Ariz., USA.
According to the report, the PMI™ registered 51.7%, an increase of 0.2 percentage point from September's reading of 51.5%, indicating growth in manufacturing at a slightly faster rate. The New Orders Index registered 54.2%, an increase of 1.9 percentage points from September, indicating growth in new orders for the second consecutive month. The Production Index registered 52.4%, an increase of 2.9 percentage points, indicating growth in production following two months of contraction. The Employment Index registered 52.1%, a decrease of 2.6 percentage points, and the Prices Index registered 55%, reflecting a decrease of 3 percentage points. Comments from the panel this month reflect continued concern over a fragile global economy and soft orders across several manufacturing sectors.
Of the 18 manufacturing industries, eight are reporting growth in October in the following order: Petroleum and Coal Products; Furniture and Related Products; Apparel, Leather, and Allied Products; Paper Products; Miscellaneous Manufacturing; Food, Beverage, and Tobacco Products; Plastics and Rubber Products; and Chemical Products. The eight industries reporting contraction in October (listed in order) are: Primary Metals; Wood Products; Machinery; Fabricated Metal Products; Transportation Equipment; Electrical Equipment, Appliances and Components; Computer and Electronic Products; and Nonmetallic Mineral Products.
The five industries reporting growth in new orders in October are: Furniture and Related Products; Food, Beverage, and Tobacco Products; Paper Products; Computer and Electronic Products; and Miscellaneous Manufacturing. The eight industries reporting a decrease in new orders during October (listed in order) are: Primary Metals; Wood Products; Machinery; Electrical Equipment, Appliances and Components; Transportation Equipment; Chemical Products; Nonmetallic Mineral Products; and Apparel, Leather, and Allied Products.
The six industries reporting growth in production during the month of October (listed in order) are: Furniture and Related Products; Apparel, Leather and Allied Products; Paper Products; Petroleum and Coal Products; Computer and Electronic Products; and Miscellaneous Manufacturing. The seven industries reporting a decrease in production in October (listed in order) are: Primary Metals; Machinery; Wood Products; Plastics and Rubber Products; Transportation Equipment; Food, Beverage, and Tobacco Products; and Nonmetallic Mineral Products.
Of the 18 manufacturing industries, eight reported growth in employment in October in the following order: Apparel, Leather, and Allied Products; Petroleum and Coal Products; Food, Beverage, and Tobacco Products; Paper Products; Miscellaneous Manufacturing; Chemical Products; Transportation Equipment; and Primary Metals. The six industries reporting a decrease in employment in October (listed in order) are: Nonmetallic Mineral Products; Plastics and Rubber Products; Electrical Equipment, Appliances and Components; Fabricated Metal Products; Compute rand Electronic Products; and Wood Products.
Of the 18 manufacturing industries, eight reported paying increased prices during the month of October in the following order: Furniture and Related Products; Food, Beverage, and Tobacco Products; Apparel, Leather, and Allied Products; Nonmetallic Mineral Products; Miscellaneous Manufacturing; Plastics and Rubber Products; Chemical Products; and Transportation Equipment. The four industries reporting paying lower prices during October are: Primary Metals; Machinery; Computer and Electronic Products; and Petroleum and Coal Products.
The five industries reporting growth in new export orders in October are: Wood Products; Nonmetallic Mineral Products; Fabricated Metal Products; Food, Beverage, and Tobacco Products; and Computer and Electronic Products. The eight industries reporting a decrease in new export orders during October (listed in order) are: Transportation Equipment; Chemical Products; Primary Metals; Electrical Equipment, Appliances, and Components; Machinery; Miscellaneous Manufacturing; Paper Products; and Apparel, Leather, and Allied Products.
The five industries reporting growth in imports during the month of October are: Petroleum and Coal Products; Plastics and Rubber Products; Computer and Electronic Products; Food, Beverage, and Tobacco Products; and Fabricated Metal Products. The eight industries reporting a decrease in imports during October (listed in order) are: Wood Products; Nonmetallic Mineral Products; Primary Metals; Paper Products; Transportation Equipment; Machinery; Chemical Products; and Apparel, Leather, and Allied Products.
The full text version of the Manufacturing ISM Report on Business is available online.
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