The overall economy grew for the ninety-fourth straight time, the Institute for Supply Management reported Monday.
According to the ISM's monthly report on business, the ISM index decreased to 57.2 in March from 57.7 in February.
Economists polled by Thomson Reuters predicted the index would be 57.0.
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 rose to 70.5 from 68.0. The employment index grew to 58.9 from 54.2.
The production index slipped to 57.6 from 62.9, the new orders index slid to 64.5 from 65.1; the supplier deliveries index gained to 55.9 from 54.8; the export orders index increased to 59.0 from 55.0; and the imports index dipped to 53.5 from 54.0.
The inventories index dropped to 49.0 from 51.5; the customers' inventories index slid to 47.0 from 47.5; and backlog of orders increased to 57.5 from 57.0.
Respondents' comments included:
- "Business conditions continue to improve." (Chemical Products)
- "Business outlook is positive." (Computer & Electronic Products)
- "Regional business is strong. Hiring qualified team members has improved." (Fabricated Metal Products)
- "We had a lot of storm orders, so it really pushed our sales up this month." (Miscellaneous Manufacturing)
- "Starting to see some prices creeping up. We are raising our sales prices as well." (Food, Beverage & Tobacco Products)
- "Business up 10-15 percent." (Machinery)
- "Industry outlook is looking relatively flat currently, and the view for calendar year 2017 looks to be flat as well. Job market has been very good in the region, and finding talent has been challenging." (Transportation Equipment)
- "Overall, material inflation is now clearly upon us." (Paper Products)
- "Business is strong and looking up." (Furniture & Related Products)
- "Opportunities for new business seem more abundant now. Orders and RFQs increasing." (Nonmetallic Mineral Products)
