Posted August 2, 2010
ISM: Manufacturing growth continues
Economic activity in the manufacturing sector expanded in July for the 12th consecutive month, according to the Institute for Supply Management.
The PMI registered 55.5 percent, a decrease of 0.7 percentage point when compared to June's reading of 56.2 percent. A reading above 50 percent indicates that the manufacturing economy is generally expanding; below 50 percent indicates that it is generally contracting.
"Employment, supplier deliveries and inventories improved during the month and reduced the impact of a month-over-month deceleration in new orders and production," said Norbert J. Ore, CPSM, C.P.M., chair of the Institute for Supply Management Manufacturing Business Survey Committee. "July marks 12 consecutive months of growth in manufacturing, and indications are that demand is still quite strong in 10 of 18 industries. The prices that manufacturers paid for their inputs were slightly higher but stable, with only a few items on the short supply list."
