US Factory Activity Growth Beats Expectations: ISM


The Institute for Supply Management’s Manufacturing PMI rose to 51.5 in September 2016 from 49.4 in August, way above market expectations of 50.3. New orders and production rebounded sharply while employment contracted at a slower pace.

The New Orders Index registered 55.1 percent, an increase of 6 percentage points from the August reading of 49.1 percent. 

The Production Index registered 52.8 percent, 3.2 percentage points higher than the August reading of 49.6 percent. 

The Employment Index registered 49.7 percent, an increase of 1.4 percentage points from the August reading of 48.3 percent. 

Inventories of raw materials registered 49.5 percent, an increase of 0.5 percentage point from the August reading of 49 percent. 

The Prices Index registered 53 percent in September, the same reading as in August, indicating higher raw materials prices for the seventh consecutive month.

Manufacturing expanded in September following one month of contraction in August, with nine of the 18 industries reporting an increase in new orders in September (up from six in August), and 10 of the 18 industries reporting an increase in production in September (up from eight in August)." Of the 18 manufacturing industries, seven are reporting growth in September in the following order: Nonmetallic Mineral Products; Furniture & Related Products; Textile Mills; Food, Beverage & Tobacco Products; Computer & Electronic Products; Miscellaneous Manufacturing; and Paper Products. The 11 industries reporting contraction in September — listed in order — are: Printing & Related Support Activities; Petroleum & Coal Products; Wood Products; Apparel, Leather & Allied Products; Transportation Equipment; Machinery; Plastics & Rubber Products; Primary Metals; Fabricated Metal Products; Chemical Products; and Electrical Equipment, Appliances & Components.

US Factory Activity Growth Beats Expectations: ISM


ISM | Joana Ferreira | joana.ferreira@tradingeconomics.com
10/3/2016 2:16:42 PM