Economic activity in the manufacturing sector expanded in April, and the overall economy grew for the 95th consecutive month, say the nation's supply executives in the latest Manufacturing ISM Report On Business.
The report was issued May 1st by Bradley J. Holcomb, Chair of the Institute for Supply Management (ISM) Manufacturing Business Survey Committee. The report noted:
- Manufacturing expanded in April as the PMI registered 54.8 percent, a decrease of 2.4 percentage points from the March reading of 57.2 percent, indicating growth in manufacturing for the eighth consecutive month. A reading above 50 percent indicates that the manufacturing economy is generally expanding; below 50 percent indicates that it is generally contracting.
- The New Orders Index registered 57.5 percent in April, which is a decrease of 7 percentage points when compared to the 64.5 percent reported for March, indicating growth in new orders for the eighth consecutive month.
- The Production Index registered 58.6 percent in April, which is an increase of 1 percentage point when compared to the 57.6 percent reported for March, indicating growth in production for the eighth consecutive month. An index above 51.4 percent, over time, is generally consistent with an increase in the Federal Reserve Board's Industrial Production figures.
- The Employment Index registered 52 percent in April, a decrease of 6.9 percentage points when compared to the March reading of 58.9 percent, indicating growth in employment in April for the seventh consecutive month. An Employment Index above 50.5 percent, over time, is generally consistent with an increase in the Bureau of Labor Statistics (BLS) data on manufacturing employment.
The Manufacturing ISM Report On Business is based on data compiled from purchasing and supply executives nationwide.
Source and more information: Institute for Supply Management