Economic activity in the manufacturing sector expanded in August for the third consecutive month, to the highest rate of growth since July 2011, says the latest Manufacturing ISM Report on Business.
The PMI registered 55.7%, an increase of 0.3% from July's reading of 55.4%. August's PMI reading, the highest of the year, indicates expansion in the manufacturing sector for the third consecutive month. The New Orders Index increased in August by 4.9% to 63.2%, and the Production Index decreased by 2.6% to 62.4%. The Employment Index registered 53.3%, a decrease of 1.1% compared to July's reading of 54.4%. The Prices Index registered 54%, increasing 5% from July, indicating that overall raw materials prices increased when compared to last month. Comments from the panel range from slow to improving business conditions depending upon the industry.