The Institute for Supply Management June Report on Business
Economic activity in the manufacturing sector expanded in June following one month of contraction, and the overall economy grew for the 49th consecutive month. The Purchasing Manager Index (PMI) registered 50.9 percent; an increase of 1.9 percentage points from May’s reading of 49 percent, indicating expansion in the manufacturing sector for the fifth time in the first six months of 2013. Generally, readings at 50 or above indicate expansion while readings below 50 indicate contraction.
Dr. Ken Mayland, PMPA (Precision Machined Products Association) economic consultant reviews the ISM number:
The June reading of 50.9, if sustained, would be consistent with a 2.7% rate of increase of real GDP, according to the ISM. Factories hit a rough spot recently-probably an adjustment from manufacturing getting too far ahead of the economy early in the year. The June results would be consistent with getting the adjustment behind us. Production is again growing. And the lifeblood of future production, new orders, expanded as well. The point there is that the fiscal drag is being absorbed and also being put behind us, setting the stage for a better second half (barring any major disruptions from any debt ceiling and FY2014 budget deals).”
The US Commerce Department’s full report on Manufacturers’ Shipments, Inventories and Orders for May, issued on 7/2
- New orders for manufactured durable goods, up three of the last four months, increased 3.7 percent.
- Shipments of manufactured durable goods, up three of the last four months increased 1.3 percent.
- Inventories of manufactured durable goods, up four of the last five months, increased 0.1 percent.
When in the Course of human events, it becomes necessary for one people to dissolve the political bands which have connected them with another, and to assume among the powers of the earth, the separate and equal station to which the Laws of Nature and of Nature’s God entitle them, a decent respect to the opinions of mankind requires that they should declare the causes which impel them to the separation.
We hold these truths to be self evident, that all men are created equal, that they are endowed by their Creator with certain unalienable Rights, that among these are Life, Liberty and the pursuit of Happiness.-That to secure these rights, Governments are instituted among Men, deriving their just powers from the consent of the governed,-That whenever any Form of Government becomes destructive of these ends, it is the Right of the People to alter or to abolish it, and to institute new Government, laying its foundation on such principles and organizing its powers in such form, as to them shall seem most likely to effect their Safety and Happiness.” July 4, 1776
Enjoy a great Fourth of July Holiday weekend. Please remember and honor the sacrifices made on our behalf, for on this day, 237 years later, we still have and enjoy those unalienable Rights of and to Life, Liberty and the pursuit of Happiness.
God Bless America