• Hlavní
  • Analytika
  • Zprávy z trhu
  • U.S. manufacturing activity continue to expand in October, albeit at slightly slower pace – ISM
Ekonomické zprávy
01.11.2021

U.S. manufacturing activity continue to expand in October, albeit at slightly slower pace – ISM

A report from the Institute for Supply Management (ISM) showed on Monday the U.S. manufacturing sector’s activity expanded in October albeit at a slightly slower pace than in September.

The ISM's index of manufacturing activity came in at 60.8 percent last month, down 0.3 percentage point from an unrevised September reading of 61.1 percent. The October reading pointed to the growth in the manufacturing sector for the 17th straight month.

Economists' had forecast the indicator to slip to 60.5 percent.

According to the report, the New Orders Index plunged 6.9 percentage points m-o-m to 59.8 percent in October, while the Backlog of Orders Index declined 1.2 percentage points to 63.6 percent and the Production Index edged down 0.1 percentage point to 59.3 percent. At the same time, the Supplier Deliveries Index jumped 2.2 percentage points to 75.5 percent in October, the Employment Index rose 1.8 percentage points to 52.0 percent and the Inventories Index increased 1.4 percentage points to 57.0 percent. On the price front, the Prices Index surged 4.5 percentage points to 85.7 percent.

Timothy R. Fiore, Chair of the ISM Manufacturing Business Survey Committee, noted that the manufacturing economy continued its growth in October but Survey Committee members reported that their companies and suppliers continue to deal with an unprecedented number of hurdles to meet increasing demand. “All segments of the manufacturing economy are impacted by record-long raw materials lead times, continued shortages of critical materials, rising commodities prices and difficulties in transporting products,” he said. “Global pandemic-related issues - worker absenteeism, short-term shutdowns due to parts shortages, difficulties in filling open positions and overseas supply chain problems - continue to limit manufacturing growth potential. However, panel sentiment remains strongly optimistic, with four positive growth comments for every cautious comment. Panelists are fully focused on supply chain issues in order to respond to the ongoing high levels of demand.”

Fiore also said that the past relationship between the PMI and the overall economy indicated that the PMI for October (60.8 percent) corresponds to a 5-percent increase in real gross domestic product (GDP) on an annualized basis.

Podívejte se také