Keeping you up to date on the latest data releases.
- ISM Manufacturing
It appears that the manufacturing sector is not immune to the weakness that has been creeping into other areas of the economy, as the ISM’s Manufacturing Purchasing Managers Index (PMI) plummeted 6.9 points to 53.5 in May (its largest monthly decrease since January 1984). While the index remains above 50 (the growth threshold for this diffusion index), its level slipped to a 21-month low (back to September 2009). Every subindex that enters into the overall PMI registered decreases in May, led by a 10.7 point drop in the new orders index (from 61.7 in April to 51.0 in May) and a 9.8 point decrease in the production index (falling to 54.0). The employment index fell 4.5 points to 58.2 in May, but remains high relative to its 20-year average level (48.4). Also, the manufacturing index slipped from 53.6 to 48.7 in May. Perhaps the only positive sign in the report was that the prices index (which is not seasonally adjusted and does not enter into the overall PMI) decreased for the first time in six months, falling from 85.5 in April to 76.5 in May.