The Institute for Supply Management's (ISM) purchasing managers index (PMI) fell 6.9 percent from April to May to a reading of 53.5 percent. Any reading over 50 indicates growth, and despite the decline, May represents the 22nd consecutive month of expansion. May's PMI was also the first reading below 60 for 2011, as well as the lowest PMI reported for the past 12 months. Transportation equipment, machinery, primary metals and fabricated metal products were among those industries that reported growth last month.
ISM's new orders and production indices took the biggest hit in May, falling 10.7 and 9.8 percent, respectively over April.
New export orders registered 55 percent in May, down 7 percent from April, with imports of materials by manufacturers falling at a moderate level. The ISM's imports index dropped 1 percent in May to 54.5 percent-reflecting the 21st consecutive month of growth in imports.