“The July PMI® registered 52.6 percent, a decrease of 0.6 percentage point from the June reading of 53.2 percent. Economic activity in the manufacturing sector expanded in July for the fifth consecutive month, while the overall economy grew for the 86th consecutive month, say the nation’s supply executives in the latest Manufacturing ISM® Report On Business®.”
“Of the 18 manufacturing industries, 11 are reporting growth in July in the following order: Textile Mills; Printing & Related Support Activities; Miscellaneous Manufacturing; Wood Products; Furniture & Related Products; Chemical Products; Food, Beverage & Tobacco Products; Fabricated Metal Products; Nonmetallic Mineral Products; Petroleum & Coal Products; and Computer & Electronic Products.”- Institute for Supply Management
PMPA’s Business Trends Report for June 2016 showed surprising resilience in our respondents’ sales growth, and out-performed the FED’s IP indicator. With profitability level and sales at fifth highest monthly level on our record, we think that when Industrial Production (IP) recovers in the broad economy, our shops will have plenty of work.
The decline in the ISM PMI from June to July suggest that the growth in Manufacturing slowed month to month.
Chart courtesy Calculated Risk Blog.