Wednesday, August 3, 2011

ISM Non Manufacturing at Lowest Level in 17 Months at 52.7

TweetThis
Not too surprisingly, we have a weakening ISM Non Manufacturing figure - it fits in with the rest of the data.   The reading of 52.7 is down from last month's 53.3.  (Estimate was 53)  It is still expansionary as its over 50, and for the first time in a long time we see the non manufacturing reading higher than the manufacturing - probably because the service sector is slower to adjust to economic conditions.

On the negative front new orders fell, inventories rose, and employment fell.  On the positive side some pressure in prices subsided.

WHAT RESPONDENTS ARE SAYING...
  • "Sales and customer traffic recovered slightly, pulling even with last year after trending lower for several months. Discretionary spending per customer has continued to decline in all areas of the operation." (Arts, Entertainment & Recreation)
  • "Sales volumes are steady. Input costs are increasing." (Agriculture, Forestry, Fishing & Hunting)
  • "Business outlook remains steady, but concerns about the second half of the year remain." (Professional, Scientific & Technical Services)
  • "Municipal government has not bounced back at a similar pace to the private sector." (Public Administration)
  • "New home construction is still very slow. Repair and remodel is the only bright spot." (Wholesale Trade)
  • "Commodities cooling off and dropping a bit." (Retail Trade)
ISM NON-MANUFACTURING SURVEY RESULTS AT A GLANCE
COMPARISON OF ISM NON-MANUFACTURING AND ISM MANUFACTURING SURVEYS*
JULY 2011
  Non-Manufacturing Manufacturing
Index Series
Index
Jul
Series
Index
Jun
Percent
Point
Change
Direction Rate
of
Change
Trend**
(Months)
Series
Index
Jul
Series
Index
Jun
Percent
Point
Change
NMI/PMI 52.7 53.3 -0.6 Growing Slower 20 50.9 55.3 -4.4
Business Activity/Production 56.1 53.4 +2.7 Growing Faster 24 52.3 54.5 -2.2
New Orders 51.7 53.6 -1.9 Growing Slower 24 49.2 51.6 -2.4
Employment 52.5 54.1 -1.6 Growing Slower 11 53.5 59.9 -6.4
Supplier Deliveries 50.5 52.0 -1.5 Slowing Slower 16 50.4 56.3 -5.9
Inventories 56.5 53.5 +3.0 Growing Faster 6 49.3 54.1 -4.8
Prices 56.6 60.9 -4.3 Increasing Slower 24 59.0 68.0 -9.0
Backlog of Orders 44.0 48.5 -4.5 Contracting Faster 2 45.0 49.0 -4.0
New Export Orders 49.0 57.0 -8.0 Contracting From Growing 1 54.0 53.5 +0.5
Imports 47.5 46.5 +1.0 Contracting Slower 2 53.5 51.0 +2.5
Inventory Sentiment 59.5 58.5 +1.0 Too High Faster 170 N/A N/A N/A
Customers' Inventories N/A N/A N/A N/A N/A N/A 44.0 47.0 -3.0
* Non-

Disclaimer: The opinions listed on this blog are for educational purpose only. You should do your own research before making any decisions.
This blog, its affiliates, partners or authors are not responsible or liable for any misstatements and/or losses you might sustain from the content provided.

Copyright @2012 FundMyMutualFund.com