New York, Sep 2 (IANS/EFE) The US manufacturing sector grew in August for the 25th consecutive month, but the pace of expansion was the slowest since July 2009, the Institute for Supply Management said Thursday.
The ISM’s Purchasing Managers’ Index, or PMI, came in at 50.6 points, down from 50.9 in July, and the lowest reading since the 49 percent registered in July 2009.
Even so, the August PMI figure was better than expected by analysts, who had feared the index would dip below 50, the dividing line between growth and contraction.
‘The overall sentiment is one of concern and caution over the domestic and international economic environment, which is affecting customers’ confidence and willingness to place orders, at least in the short term,’ Bradley J. Holcomb, chair of the ISM Manufacturing Business Survey Committee, said in a statement.
The sub-index measuring production slipped 3.7 points to 48.6, its first decline in 27 months and weakest performance in more than two years.
August marked the fourth straight month when the rate of price increases in the manufacturing sector decreased, falling 3.5 points to 55.5.
ISM’s Employment Index stood at 51.8 points, off 1.7 from July, yet strong enough to maintain a nearly two-year-long run of continuous growth.
