United States: Manufacturing increases, employment tallies largest gain
May 1, 2014
In April, the ISM manufacturing index rose to 54.9%, marking an improvement over the 53.7% recorded in March. The result overshot market expectations that the index would rise to 54.3%. Moreover, the index moved slightly higher above the 50.0% threshold that indicates expansion in the manufacturing sector.
Employment was the category that increased the most in April, jumping from March's nine-month low of 51.1% to 54.7%. Supplier deliveries and inventories also increased over the previous month. Production was down slightly, whereas new orders did not change.
FocusEconomics Consensus Forecast panelists expect that industrial output will increase 3.7% this year, which is down 0.2 percentage points from last month's forecast. For 2015, panelists see industrial production accelerating to a 4.1% expansion.
Author: Carl Kelly, Economist