ISM PMI analysis for the US economy in July 2019.

The price of a product is affected by raw material and labour costs.  Although the imported raw materials were supposed to be cheaper than local materials, the producers chose to reduce the imported materials and purchase more local materials.  This behaviour might be tariff-related.  However, the reduction in employment had helped to defray the cost and reduced the PMI prices from 47.9 to 45.1.  The upcoming employment data will fall, judging from the PMI employment sub-index number.

The new export and local orders will crumble if Trump imposes the additional tariffs on 1 September since consumer goods are being targeted this time and China has not announced its retaliatory US tariffs.  This July PMI is no longer relevant because of the escalating tariffs from both countries.

https://sg-stock.blogspot.com/2019/08/trump-to-impose-additional-tariffs-on.html

In conclusion, the headline PMI figure has been falling for 4 consecutive months already.

http://sg-stock.blogspot.com/2019/07/ism-pmi-analysis-for-us-economy-in-june.html