Manufacturing Sector continues to grow and strengthen in February according to ISM PMI index, confirming PMPA’s own January Business Trends Outlook.
“Optimism in terms of demand and growth in the near term” – Bradley Holcomb, Institute for Supply Management
“The February PMI® registered 53.2 percent, an increase of 1.9 percentage points from January’s reading of 51.3 percent indicating expansion in manufacturing for the ninth consecutive month. The New Orders Index registered 54.5 percent, an increase of 3.3 percentage points from January’s reading of 51.2 percent. The Production Index registered 48.2 percent, a decrease of 6.6 percentage points compared to January’s reading of 54.8 percent. Inventories of raw materials increased by 8.5 percentage points to 52.5 percent. As in January, several comments from the panel mention adverse weather conditions as a factor impacting their businesses in February. Other comments reflect optimism in terms of demand and growth in the near term.”
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Markets the precision machining industry serves did well in February: Machinery; Plastics & Rubber Products; Transportation Equipment; Electrical Equipment, Appliances & Components; Fabricated Metal Products; Furniture & Related Products; Primary Metals according to the ISM release.
The PMPA’s January Business Trends Report was similarly upbeat with strongly positive indicators for Sales, Lead Times, Profitability and Employment.
Over 59% of our reporting precision machining shops were scheduling overtime in January.
The ISM PMI Report for February 2013 shows continued growth and strength in the manufacturing sector.
The ISM report confirms this statement with its report on commodity prices
“No commodities are reported down in price.”
That pretty much validates the index…
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The manufacturing sector has demonstrated notable improvement, as evidenced by the ISM PMI index which rose to 53.2 in February from January’s 51.3. This uptick aligns with the PMPA’s January Business Trends Outlook and reflects a continued expansion in manufacturing for the ninth consecutive month. According to Bradley Holcomb of the Institute for Supply Management, there is a growing optimism regarding demand and growth in the near term. The New Orders Index increased to 54.5 percent, indicating a strong demand for manufacturing services, despite a slight decrease in the Production Index. Notably, inventories of raw materials have also risen, and while weather conditions have impacted some businesses, the overall sentiment remains positive.
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