Economic activity in the US manufacturing sector expanded in May, and the overall economy grew for the 96th consecutive month, according to the latest Manufacturing ISM Report On Business.
The May PMI registered 54.9 percent, an increase of 0.1 percentage point from the April reading of 54.8 percent.
The New Orders Index registered 59.5 percent, an increase of 2 percentage points from the April reading of 57.5 percent.
The Production Index registered 57.1 percent, a 1.5 percentage points decrease compared to the April reading of 58.6 percent.
The Employment Index registered 53.5 percent, an increase of 1.5 percentage points from the April reading of 52 percent.
The Inventories Index registered 51.5 percent, an increase of 0.5 percentage point from the April reading of 51 percent.
The Prices Index registered 60.5 percent in May, a decrease of 8 percentage points from the April reading of 68.5 percent, indicating higher raw materials prices for the 15th consecutive month, but at a noticeably slower rate of increase in May compared with April.
Of the 18 manufacturing industries, 15 reported growth in May in the following order: nonmetallic mineral products; furniture and related products; plastics and rubber products; machinery; primary metals; food, beverage and tobacco products; electrical equipment, appliances and components; paper products; miscellaneous manufacturing; computer and electronic products; transportation equipment; chemical products; fabricated metal products; petroleum and coal products; and printing and related support activities.
Two industries reported contraction in May compared to April: apparel, leather and allied products; and textile mills.