Tempe, AZ, August 1--Economic activity in the manufacturing sector grew in July for the 26th consecutive month, while the overall economy grew for the 45th consecutive month, say the nation's supply executives in the latest Manufacturing ISM Report On Business.
The report was issued today by Norbert J. Ore, C.P.M., chairman of the Institute for Supply Management Manufacturing Business Survey Committee. "The manufacturing sector grew for the 26th consecutive month in July based on the ISM data. An improved rate of growth in New Orders and Production continues to drive improvement in the sector. It appears that the sector hit a low point in May, and has rebounded nicely in June and July. The Prices Index apparently reached the end of its run in June, as the July index indicates that pricing power, at least for the short term, is now once again favoring buyers."
The 12 industries reporting growth in July — listed in order — are: Instruments & Photographic Equipment; Food; Wood & Wood Products; Electronic Components & Equipment; Leather; Miscellaneous*; Industrial & Commercial Equipment & Computers; Transportation & Equipment; Furniture; Chemicals; Fabricated Metals; and Textiles.
The industries reporting decreased activity in July are: Printing & Publishing; Glass, Stone & Aggregate; Primary Metals; Apparel; Rubber & Plastic Products; and Paper. The only industry reporting activity unchanged from June is Petroleum.
WHAT RESPONDENTS ARE SAYING …
"High oil prices continue to play havoc on business projections." (Chemicals)
"Pricing pressure from offshore producers is having increasing pressure on our ability to sell our product." (Electronic Components & Equipment)
"Ninety percent capacity, record ship volume for June, and we look to surpass in July." (Fabricated Metals)
"Steel prices continue to fall and incoming order rates are highest of the year." (Furniture)
"Business remains strong due to high truck and trailer build schedule." (Primary Metals)
