Economy
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/media/k2/items/src/d1e98d9faacc45ea5c589109f71bfc74.jpg)
ISM: US Manufacturing Expanded in May, Exceeds Expectations
Written by David Schollaert
June 5, 2022
The outlook among purchasing managers surveyed by the Institute for Supply Management was positive in May. US manufacturing activity grew at a slightly faster rate than anticipated as the six biggest manufacturing industries registered moderate to strong growth last month.
May’s Manufacturing PMI rose to 56.1%, a 0.7 percentage point gain compared to a reading of 55.4% in March. The index reading above 50% indicates growth in the manufacturing sector. May’s measure marks the 24th consecutive month of expansion since the Covid-19 outbreak in the spring of 2020.
“The US manufacturing sector remains in a demand-driven, supply chain-constrained environment,” said Timothy Fiore, chairman of ISM’s Manufacturing Business Survey Committee. “Despite the Employment Index contracting in May, companies improved their progress on addressing moderate-term labor shortages at all tiers of the supply chain.”
- The Employment Index registered 49.6% in May. The reading was 1.3 percentage points lower than April’s 50.9%.
- The New Orders Index registered 55.1% in May, up 1.6 percentage points from the April reading of 53.5%.
- The New Export Orders Index was 52.9%, up 0.2 percentage points compared to the April reading of 52.7%.
- The Inventories Index registered 55.9% in May, 4.3 percentage points higher than the 51.6% reported for April.
Fiore said the big picture was that “manufacturing improved even though global supply chains have dampened activity.”
An interactive history ISM Manufacturing Report on Business PMI index is available on our website. If you need assistance logging into or navigating the website, please contact us at info@SteelMarketUpdate.com.
By David Schollaert, David@SteelMarketUpdate.com
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/2024/02/SMU_DS_headshot.png-150x150.jpg)
David Schollaert
Read more from David SchollaertLatest in Economy
Metalformers expect steady conditions in coming months
Metalformers expect economic activity to stabilize over the next three months, according to the recently released July Business Conditions Report from the Precision Metalforming Association (PMA).
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/images/Featured_News_Icons/construction.png)
Architecture Billings Index rises from 4-year low in June
The Architecture Billings Index (ABI) ticked up in June following May’s four-year low, according to the American Institute of Architects (AIA) and Deltek. While the index improved this month, it continues to indicate weak business conditions among architecture firms.
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/2023/07/FedRes.png)
Beige Book: Uncertainty to continue fueling slower economic growth
Growth in the US economy continues to be constrained. The Federal Reserve’s Beige Book report for July shows more areas reporting flat or declining economic activity than in its previous report at the end of May.
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/images/Featured_News_Icons/AISI.png)
AISI, AISC, University of Massachusetts get ~$6.4M EPA grant
The American Iron and Steel Institute (AISI), American Institute of Steel Construction (AISC), and the University of Massachusetts at Amherst have received a grant to enhance emissions reporting for steel construction projects.
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/2023/12/empire_state_1-scaled.jpg)
Manufacturing activity in New York state continues to soften
New York state saw a continued decline in manufacturing activity in July, according to the latest Empire State Manufacturing Survey from the Federal Reserve Bank of New York.