ISM PMI Indicates Manufacturing Industry Growth Resumed in March 2016

“Economic activity in the manufacturing sector expanded in March for the first time in the last six months, while the overall economy grew for the 82nd consecutive month, say the nation’s supply executives in the latest Manufacturing ISM® Report On Business®.”

Manufacturing is back!

Manufacturing is back!

“The March PMI® registered 51.8 percent, an increase of 2.3 percentage points from the February reading of 49.5 percent. The New Orders Index registered 58.3 percent, an increase of 6.8 percentage points from the February reading of 51.5 percent. The Production Index registered 55.3 percent, 2.5 percentage points higher than the February reading of 52.8 percent.”

Graph courtesy Calculated Risk Blog

Graph courtesy Calculated Risk Blog

This is good news for the precision machined products industry. Our products make most manufactured technologies function and perform whether, electrical, electronic, hydraulic or fluid power, or simply utility control.

Of the 12  markets reporting growth in March,  Furniture & Related Products; Miscellaneous Manufacturing; Machinery; Plastics & Rubber Products;  Fabricated Metal Products;  Primary Metals; and Computer & Electronic Products are served by our industry. Of the remaining markets reporting contraction, Electrical Equipment, Appliances & Components; Transportation Equipment are markets heavily served by our industry.

The resumption of manufacturing expansion is welcomed, and we hope will put  to rest the speculation of a recession just around the corner. Manufacturing represents almost a third of our economy see our article here

ISM report here

Calculated Risk (Graph)

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s