Despite the declines reported for May 2012 in both the ISM Purchasing Managers Index for Manufacturing and Industrial Production (IP), PMPA’s Business Trends Sales Index is once again back at its peak of 127.
This is an increase of 9 percent over April, up 8 percent over last year’s average, and up 7 percent compared to same year to date last year.
PMPA’s Business Trends Sales Index shows a strong continued demand for the products of the precision machining industry.
The ISM Manufacturing PMI decreased modestly from 54.8 percent to 53.5 percent in May 2012, contrasting to our index’s gain. Industrial Production (IP) also slipped 0.1 lower in May, as Manufacturing Activity contracted 0.4%. (Note: Manufacturing Activity is actually up 5.2% on a year over year basis.)
The 3 month moving average (3MMA) for PMPA’s Business Trends Index of Sales remains above the 12 month moving average (12MMA).
We are strongly optimistic about prospects for manufacturing knowing the role our industry’s production plays as supplier of critical componentry in manufactured goods.
How is your shop doing? Are you getting your share of the Industry’s unexpectedly strong sales?
How do you reconcile this to all the doom and gloom we hear on the news?