The National Association of Purchasing Management reported that the manufacturing industry declined in September for the second consecutive month. However, the overall economy recorded its 113th consecutive month of growth in September.
According to Norbert J. Ore, C.P.M., chair of the NAPM's Manufacturing Business Survey committee, "The manufacturing sector failed to grow in September with additional signs of softness appearing as Supplier Deliveries have accelerated and New Orders continue to slide downward. Bright spots were September’s Production and Employment Indexes as they recovered above the 50 mark, reversing the downward trends. The NAPM Prices Index continues to indicate manufacturers are paying higher prices for their purchases and suffer the instability of energy prices which translate into higher costs."
NAPM's Production Index increased 0.4% to 49.9 in September. The New Order Index declined 0.6% to 49.1 while the Backlog of Orders Index registered 47, indicating small backlogs for the fifth consecutive month.
Among other sub-indexes, prices paid increased by 1.9% in September to 58.1 from August's 56.2, supplier deliveries declined to 49.3 indicating slower deliveries in August, and employment increased 2.7% to 50.9, up from 48.2 in August.
Series September August PMI 49.9 49.5 Production 52.1 48.7 New Orders 49.1 49.7 Backlog of Orders 47.0 49.0 Supplier Deliveries 49.3 53.1 Inventories 45.9 47.8 Employment 50.9 48.2 Prices 58.1 56.2 New Export Orders 50.3 50.7 Imports 50.5 51.9
The next NAPM Report on Business will be released on November 1, 2000.