Tuesday, September 3, 2024
Year : 2, Issue: 35
The US manufacturing sector contracted in August for the fifth consecutive month, according to a report released Tuesday by the Institute for Supply Management (ISM).
The ISM manufacturing purchasing managers’ index (PMI) came in at 47.2% in August – up 0.4 percentage points from 46.8% in July. A reading above 50 indicates growth, while below that level shows contraction.
The market expectation for the index, based on replies from purchasing and supply executives in more than 400 industrial firms, was to come in at 47.5%.
The figure also marked the 21st contraction in the last 22 months.
“While still in contraction territory, U.S. manufacturing activity contracted slower compared to last month,” said Timothy Fiore, chair of the ISM Manufacturing Business Survey Committee. “Demand continues to be weak, output declined, and inputs stayed accommodative.”
“Demand remains subdued, as companies show an unwillingness to invest in capital and inventory due to current federal monetary policy and election uncertainty,” he said, adding: “Production execution was down compared to July, putting additional pressure on profitability.”
Source: Anadolu Agency
