Economy
April 2, 2016
ISM Manufacturing Index Expands for First Time in 6 Months
Written by Sandy Williams
In what is hoped to be good news for the steel industry, manufacturing as measured by the latest Manufacturing ISM Report on Business expanded for the first time in six months. The PMI, or Purchasing Managers Index, increased 2.3 percentage points to register 51.8 from a reading of 49.5, indicating expansion in manufacturing and the 82nd consecutive month of growth for the overall economy.
New Orders and Production grew at a faster rate in March gaining 5.8 points and 2.4 points, respectively. Supplier deliveries were slower in March as indicated by a reading of 50.2. Raw material inventories contracted again in March but at a slower rate than February. Customer inventories were considered too low for the second consecutive month. Backlogs of orders grew for the first time since May 2015.
