Economic activity in the manufacturing sector expanded in November for the sixth consecutive month, and the overall economy grew for the 54th consecutive month, say the nation’s supply executives in the latest Manufacturing ISM Report On Business.
The report was issued today by Bradley J. Holcomb, CPSM, CPSD, chair of the Institute for Supply Management™ Manufacturing Business Survey Committee. “The PMI™ registered 57.3 percent, an increase of 0.9 percentage point from October’s reading of 56.4 percent. The PMI™ has increased progressively each month since June, with November’s reading reflecting the highest PMI™ in 2013. The New Orders Index increased in November by 3 percentage points to 63.6 percent, and the Production Index increased by 2 percentage points to 62.8 percent. The Employment Index registered 56.5 percent, an increase of 3.3 percentage points compared to October’s reading of 53.2 percent. This reflects the highest reading since April 2012 when the Employment Index registered 56.8 percent. With 15 of 18 manufacturing industries reporting growth in November relative to October, the positive growth trend characterizing the second half of 2013 is continuing.”
Of the 18 manufacturing industries, 15 are reporting growth in November in the following order: Plastics & Rubber Products; Textile Mills; Furniture & Related Products; Primary Metals; Food, Beverage & Tobacco Products; Paper Products; Printing & Related Support Activities; Petroleum & Coal Products; Miscellaneous Manufacturing; Electrical Equipment, Appliances & Components; Transportation Equipment; Chemical Products; Computer & Electronic Products; Nonmetallic Mineral Products; and Fabricated Metal Products. The three industries reporting contraction in November are: Apparel, Leather & Allied Products; Wood Products; and Machinery.
What respondents are saying:
- “Seasonal demand has not decreased at the typical pace.” (Primary Metals)
- “Incoming order rate remaining strong.” (Fabricated Metal Products)
- “Outlook for the remainder of the year and into 2014 is trending positive.” (Chemical Products)
- “Overall business climate is good. Business is steady.” (Transportation Equipment)
- “Sequestration and cutbacks in defense spending continue to impact business.” (Computer & Electronic Products)
- “Market continues to be stronger than normal for this time of year.” (Wood Products)
- “Getting much busier toward the end of the year.” (Furniture & Related Products)
- “Seeing consistent uptick in demand.” (Food, Beverage & Tobacco Products)
- “Federal debt, deficit and inefficiency are causing a level of caution and uncertainty.” (Machinery)
- “Ordering for 2014 seems to be increasing in comparison to the past six months.” (Miscellaneous Manufacturing)
To see the full report, go to: http://www.ism.ws/