United States: Manufacturing increases modestly in March
April 1, 2014
In March, the ISM manufacturing index rose to 53.7%, marking a modest improvement over the 53.2% recorded in February. The result undershot market expectations that the index would rise to 54.0%; however, the index moved slightly higher above the 50.0% threshold that indicates expansion in the manufacturing sector.
Two of the five ISM indicators registered gains over the previous month. Production jumped significantly, rising from 48.2% to 55.9%, and new orders also increased. Supplier deliveries and employment were down, whereas inventories 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