ISM Manufacturing Index Reports Growth Again
The ISM Manufacturing Index reported the overall economy grew for the 23rd consecutive month albeit at a slower pace and the manufacturing sector expanded in April for the 21st consecutive month. PMI registered slightly above 60 signifying growth; although, the index declined 0.8% from 61.2 in March to 60.4 in April.
Out of 18 manufacturing industries, 17 reported growth for April. All commodities are reported up in price including cold rolled and galvanized steel prices which have increased for the past five months. New orders and production are s growing at slightly slower rates than last month, but these indexes have seen growth for 22 and 23 months respectively.
Manufacturing employment has also seen growth, now for 19 months straight. The employment indexes for the past four months are the highest readings in the last 38 years. Deliveries are slowing down but inventories are growing, with a 6.2% increase for April, the first time the reading has hit above 50 since January 2011. Prices and backlogs of orders are both increasing at faster rates. There is a large difference in imports and exports for April, as imports are growing 1% slower than in March while exports are growing 6% faster than in March.