The Institute for Supply Management (ISM) reported Tuesday that the Purchasing Managers' Index (PMI) registered 55.7 percent in August, an increase of 0.3 percentage points from July's reading of 55.4 percent. August's PMI reading, the highest of the year, indicates expansion in the manufacturing sector for the third consecutive month.
The New Orders Index increased in August by 4.9 percentage points to 63.2 percent, and the Production Index decreased by 2.6 percentage points to 62.4 percent. The Employment Index registered 53.3 percent, a decrease of 1.1 percentage points compared to July's reading of 54.4 percent. The Prices Index registered 54 percent, increasing 5 percentage points from July, indicating that overall raw materials prices increased when compared to last month. The Exports Index rose 2 percentage points and the Imports Index improved 0.5 percentage points.