– "Following a weak first quarter, the manufacturing sector rebounded in a strong fashion during the second quarter.”
That’s according to Norbert J. Ore, chair of ISM’s
Manufacturing Business Survey Committee. The trade group said June manufacturing expanded at its fastest pace since April 2006.
The May PMI was 56%, the institute reported. New orders were at 60.3%, up 0.7 of a point from the previous month. Production reached 62.9%, up 4.6 points from April. The backlog of orders was up one point, while customers’ inventories were down one point. The data showed inventories were contracting.
According to Ore, business is on strong footing. “This performance appears sustainable in the third quarter due to the current strength in new orders and production," he said.
Economic activity in the manufacturing sector expanded in June for the fifth consecutive month, while the overall economy grew for the 68th consecutive month, said ISM.