The RSM Manufacturing Outlook Index is now 4.2 standard deviations below normal conditions, an assessment of manufacturing conditions that is not as dire as last month, but dire nonetheless. Perhaps last month’s reading of about six standard deviations below normal was an indication from manufacturers that things couldn’t possibly get any worse. And ... READ MORE >
U.S. manufacturing sector hit hard by COVID-19, new RSM data shows
The recession in the U.S. manufacturing sector that began in the second half of 2019 has been sharply exacerbated by the COVID-19 pandemic, new proprietary data from RSM shows. Significantly more middle market manufacturers reported losses to U.S. revenue and greater disruptions to operations and their supply chains than the retail, technology and fintech ... READ MORE >
COVID-19 pandemic drives largest drop in U.S. factory production on record
Total industrial production in the United States fell 11.2% in April from a month earlier, according to numbers released Friday by the Federal Reserve. That decline is the largest monthly drop in the 101-year history of the industrial production index, reflecting the impact of the COVID-19 pandemic forcing many factories and businesses to a standstill ... READ MORE >
New April data suggests more pain ahead for U.S. industrial sector
Business activity declined dramatically in New York state in early April, according to the Federal Reserve Bank of New York’s monthly survey of manufacturers there. The general business conditions index in the Fed’s Empire State Manufacturing Survey, released Wednesday, reflected a steep decline in business activity in April to -78.2 compared to -21 in ... READ MORE >
The perfect storm: Tough times ahead for the U.S. shale industry
A swift drop in oil demand from China and the oil price war between Saudi Arabia and Russia have led to a global crude surplus. The oil industry in the United States faces tough times ahead as the coronavirus pandemic continues to inject uncertainty into oil markets, and shale producers especially are expected to feel the pain. In March, West Texas ... READ MORE >
Key manufacturing index indicates the industry contracted in March
A key gauge of U.S. factory activity dipped into contraction territory in March, new data released Wednesday shows. The Institute for Supply Management’s manufacturing index dipped to 49.1 in March, from 50.1 a month earlier, and above the consensus of 44.5. A reading below 50 indicates contraction in the manufacturing sector, which accounts for around ... READ MORE >
Coronavirus pandemic hinders global automotive supply chains
With the recent passage of “phase one” of a trade agreement between the United States and China and the ratification of the United States-Mexico-Canada Agreement (USMCA), 2020 was supposed to be a transitional year for the global auto industry. Analysts had expectations that sales in the sector had bottomed out and that growth in China would support the ... READ MORE >
ISM manufacturing index declines in February
The Institute for Supply Management’s manufacturing index — a key gauge of U.S. factory activity — dropped to 50.1 in February from 50.9 a month earlier, falling slightly below economists' expectations. Sluggish global growth amid the spread of the coronavirus was a factor in that drop. Figures above 50 in the index indicate the manufacturing economy is ... READ MORE >
Continued warnings or signs of bottoming out for industrial production and manufacturing
The Conference Board’s Leading Economic Indicator moved slightly lower in December, continuing a downward trend that began in the last months of 2018. Movement of the leading indicator has traditionally coincided with trends with industrial-sector activity. In this current cycle, the leading indicator has been propped up by a robust stock market and ... READ MORE >
Manufacturing activity declines for fourth straight month, ISM report shows
American factory activity declined for the fourth straight month in November as sluggish global growth and continued uncertainty over trade issues took their toll, according a key gauge released Monday by the Institute for Supply Management. The ISM’s purchasing managers’ index dropped to 48.1 in November, from 48.3 a month earlier, and below the ... READ MORE >