U.S. Manufacturing PMI Slips to 54.6 in August as Prices Hold at 71.1
Updated
Updated · PR Newswire · Sep 1
U.S. Manufacturing PMI Slips to 54.6 in August as Prices Hold at 71.1
3 articles · Updated · PR Newswire · Sep 1
Summary
ISM said U.S. manufacturing expanded for an eighth straight month in August, with PMI at 54.6, down 1 point from July’s 55.6 but still signaling broader economic growth.
New orders fell 3 points to 53.7, backlogs dropped 3.2 points to 51.8 and imports slid to 52.5, showing demand and activity stayed positive but lost momentum.
Prices held at 71.1 for a 23rd month of increases, while supplier deliveries slowed further to 59.3; respondents repeatedly cited steel and aluminum costs, tariffs and the Iran war.
Customers’ inventories remained too low at 42.8, a level ISM said usually supports future production, even as 58% of comments were negative and output and hiring sentiment weakened.
ISM said the August PMI is consistent with a 2.4% annualized real GDP increase, with five of the six largest manufacturing industries still expanding.