Economic activity in the US manufacturing sector grew in June with the overall economy notching a second month of growth after one month of contraction, according to the latest Manufacturing ISM Report On Business.
The June PMI registered 52.6 percent, up 9.5 percentage points from the May reading of 43.1 percent. This figure indicates expansion in the overall economy for the second straight month after April's contraction, which ended a period of 131 consecutive months of growth.
Index breakdown:
Index | June level | May level |
New Orders | 56.4 | 31.8 |
Production | 57.3 | 33.2 |
Backlog of Orders | 45.3 | 38.2 |
Employment | 42.1 | 32.1 |
Supplier Deliveries | 56.9 | 68 |
Inventories | 50.5 | 50.4 |
Prices | 51.3 | 40.8 |
New Export Orders | 47.6 | 39.5 |
Imports | 48.8 | 41.3 |
Of the 18 manufacturing industries, the 13 that reported growth in June — in the following order — are: textile mills; wood products; furniture and related products; printing and related support activities; apparel, leather and allied products; food, beverage and tobacco products; computer and electronic products; plastics and rubber products; chemical products; miscellaneous manufacturing; nonmetallic mineral products; paper products; and electrical equipment, appliances and components.
The four industries reporting contraction in June are: transportation equipment; primary metals; fabricated metal products; and machinery.