U.S. factory activity contracts in March; orders tumble to 11-year low: ISM
Source: Reuters
BUSINESS NEWS APRIL 1, 2020 / 10:15 AM / UPDATED 7 HOURS AGO
U.S. factory activity contracts in March; orders tumble to 11-year low: ISM
WASHINGTON (Reuters) - U.S. manufacturing activity contracted less than expected in March, but disruptions caused by the coronavirus pandemic pushed new orders received by factories to an 11-year low, reinforcing economists views that the economy was in recession.
The Institute for Supply Management (ISM) said on Wednesday its index of national factory activity fell to a reading of 49.1 last month from 50.1 in February. Economists polled by Reuters had forecast the index dropping to 45.0 in March.
A reading below 50 indicates contraction in the manufacturing sector, which accounts for 11% of the U.S. economy. The smaller-than-expected drop in the ISM index reflected a rise in the surveys measure of supplier deliveries to a reading of 65.0 this month from 57.3 in February.
A lengthening in suppliers delivery time is normally associated with increased activity, which would be a positive contribution. In this case, however, slower supplier deliveries indicate supply shortages rather than stronger demand.
{snip}
Read more: https://www.reuters.com/article/us-usa-economy-manufacturing/us-factory-activity-contracts-in-march-orders-tumble-to-11-year-low-ism-idUSKBN21J5S5
Mc Mike
(9,115 posts)generated depression, in '09.
cstanleytech
(26,319 posts)very little.
keithbvadu2
(36,906 posts)MAGAts, don't be afraid to brag 'the Trump economy'.
CountAllVotes
(20,878 posts)What a despicable back of thugs!