The prices subindex had increased to 42.6 (+0.8) because of persistently high core PCE. Despite the higher new order, the producers were pessimistic about the economic outlook and cut back on their employment (44.4, -3.7). There was no supply and logistic disruption anymore as indicated by the low supplier’s deliveries (46.1, +0.4).
The new order (47.3, +1.7) increased because of higher new local order (Est’d +2.8) versus the lower new export order (46.2, -1.1). The producers increased their inventories (46.1, +2.1), local raw material (Est’d +1.8) and import (49.6, +0.3) to meet the higher new local order, and also increased their production (48.3, +1.6) and customers’ inventories (48.7, +2.5). The backlog of order increased to 42.8 (+4.1) because the production couldn’t fulfil the higher new order.
Overall, the PMI increased to 46.4 (+0.4) but it was still in a contractionary phase. Thus, the US economy is still set to enter into a recession because the US consumers have depleted their pandemic savings.
.jpg)
No comments:
Post a Comment