The overall economy grew for the eighty-second straight time, while the manufacturing sector expanded for the first time in six months, the Institute for Supply Management reported Friday.
According to the ISM’s monthly report on business, the ISM index increased to 51.8 in March from 49.5 in February.
Economists polled by Thomson Reuters predicted the index would be 51.0.
An index reading below 50 signals a slowing economy, while a level above 50 suggests expansion. A reading of 50 shows the sector was unchanged in the month.
The prices paid index gained to 51.5 from 38.5. The employment index slid to 48.1 from 48.5.
The production index climbed to 55.3 from 52.8, the new orders index rose to 58.3 from 51.5; the supplier deliveries index grew to 50.2 from 49.7; the export orders index gained to 52.0 from 46.5; and the imports index increased to 49.5 from 49.0.
The inventories index increased to 47.0 from 45.0; the customers’ inventories index rose to 49.0 from 47.0; and backlog of orders grew to 51.0 from 48.5.
Respondents’ comments included:
- “Unemployment rate is low in our county, making it hard to find workers. We are understaffed and running lots of overtime.” (Plastics & Rubber Products)
- “Business in telecom is booming. Fiber plant is at capacity.” (Chemical Products)
- “Current trends remain steady. No issues with delivery or costs.” (Computer & Electronic Products)
- “Capital equipment sales are steady.” (Fabricated Metal Products)
- “Requests for proposals for new equipment [are] very strong.” (Machinery)
- “Government is spending again. Have received delivery orders.” (Transportation Equipment)
- “Things are starting to pick up. Our business is seasonal and it is that time of year.” (Printing & Related Support Activities)
- “Business conditions are stable, little change from last month.” (Miscellaneous Manufacturing)
- “Incoming sales are improving.” (Furniture & Related Products)
- “Our business is still going strong.” (Primary Metals)
