“The manufacturing economy continued its recovery in October. Survey Committee members reported that their companies and suppliers continue to operate in reconfigured factories; with every month, they are becoming more proficient at expanding output. Panel sentiment was optimistic…” –Timothy R. Fiore, CPSM, C.P.M., Chair of the Institute for Supply Management® (ISM®) Manufacturing Business Survey Committee.
Manufacturing continues its sixth consecutive month of recovery.
The manufacturing economy continued its recovery in October. Economic activity in the manufacturing sector grew in October, with the overall economy notching a sixth consecutive month of growth.
- The October Manufacturing PMI® registered 59.3 percent, up 3.9 percentage points from the September reading of 55.4 percent and the highest since September 2018 (59.3 percent).
- This figure indicates expansion in the overall economy for the sixth month in a row after a contraction in April, which ended a period of 131 consecutive months of growth.
- New Orders Index registered 67.9 percent, an increase of 7.7 percentage points from the September reading of 60.2 percent.
- The Production Index registered 63 percent, an increase of 2 percentage points compared to the September reading of 61 percent.
- The Backlog of Orders Index registered 55.7 percent, 0.5 percentage point higher compared to the September reading of 55.2 percent.
- The Employment Index registered 53.2 percent, an increase of 3.6 percentage points from the September reading of 49.6 percent.
- The Supplier Deliveries Index registered 60.5 percent, up 1.5 percentage points from the September figure of 59 percent.
- The Inventories Index registered 51.9 percent; 4.8 percentage points higher than the September reading of 47.1 percent.
- The Prices Index registered 65.5 percent, up 2.7 percentage points compared to the September reading of 62.8 percent.
- The New Export Orders Index registered 55.7 percent; an increase of 1.4 percentage points compared to the September reading of 54.3 percent.
- The Imports Index registered 58.1 percent, a 4.1-percentage point increase from the September reading of 54 percent
All indexes reported increases over September.
Fabricated metals reported strong growth.
What’s not to like in this release?
We’re manufacturing positivity!
Chart courtesy Calculated Risk Blog
ISM Report October 2020