Manufacturing Sector Bounces Back in September



According to the latest report from the Institute for Supply Management, economic activity in the manufacturing sector expanded in September following contraction in August, and the overall economy grew for the 88th consecutive month.

In the report, the September PMI registered 51.5%, an increase of 2.1 points from the August reading of 49.4%, which fell below the 50% threshold for expansion.

The new orders and production all increased as well and indicate expansion. The new orders index came in at 55.1%, up 6% from the August reading of 49.1%. The production index recorded a reading of 52.8%, 3.2% higher than August’s reading of 49.6%.

The prices index matched its reading from August (53%) while the employment index remained just below the expansion threshold despite a 1.4% increase from the August reading.

The report also shows that manufacturing expanded in September following one month of contraction in August, with nine of the 18 industries reporting an increase in new orders in September, up from six in August, and 10 of the 18 industries reporting an increase in production in September, up from eight in August.


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Terry Mulreany
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