Economic activity in the US manufacturing sector contracted in September for the 11th consecutive month following a 28-month period of growth, according to the latest Manufacturing ISM Report on Business.
The Manufacturing PMI registered 49 percent in September, 1.4 percentage points higher than the 47.6 percent recorded in August. The overall economy expanded weakly after nine months of contraction following a 30-month period of expansion (a Manufacturing PMI above 48.7 percent, over a period of time, generally indicates an expansion of the overall economy). Index breakdown:
Index | September level | August level |
New Orders | 49.2 | 46.8 |
Production | 52.5 | 50 |
Prices | 43.8 | 48.4 |
Backlog of Orders | 42.4 | 44.1 |
Employment | 51.2 | 48.5 |
Supplier Deliveries | 46.4 | 48.6 |
Inventories | 45.8 | 44 |
New Export Orders | 47.4 | 46.5 |
Imports | 48.2 | 48 |
The five manufacturing industries that reported growth in September are: nonmetallic mineral products; food, beverage and tobacco products; textile mills; primary metals; and petroleum and coal products.
The 11 industries reporting contraction in September — in the following order — are: printing and related support activities; furniture and related products; plastics and rubber products; paper products; fabricated metal products; wood products; computer and electronic products; machinery; electrical equipment, appliances and components; chemical products; and transportation equipment.