Several reports on manufacturing show that while business isn’t dropping, it’s not growing like expected either. The Manufacturing ISM Report on Business® from the Institute for Supply Management (ISM) for the month of May showed the Purchasing Managers Index (PMI) registered 52.8%, an increase of 1.3 percentage points over the April reading of 51.5%.
According to Bradley J. Holcomb, CPSM, CPSD, Chair of the ISM Manufacturing Business Survey Committee, the Production Index registered 54.5%, 1.5 percentage below the April reading of 56%. The Employment Index registered 51.7%, 3.4 percentage points above the April reading of 48.3%, reflecting growing employment levels from April. Inventories of raw materials registered 51.5%, an increase of 2 percentage points from April’s 49.5%. The prices Index registered 49.5%, 9 percentage points above the April reading of 40.5%, indicating lower raw materials prices for the seventh consecutive month.