Today’s data from the Institute for Supply Management is showing that the November Manufacturing Report on Business was an utter disappointment. The ISM figure came in at 49.5%, which is under the 50.0% growth-contraction breakeven barometer. This was the lowest number for all of 2012 and the worst since July 2009. This was down more than two points than the 51.7% expected by Bloomberg. It was also down more than two points from the prior reading in October.
As far as the breakdown goes, new orders and production were said to be growing while the readings on employment and inventories were shown to be contracting. The report also showed that supplier deliveries are slowing. All in all, this represents contraction in manufacturing for the fourth time in the past six months. In short, the ISM is running on a mild recessionary level and that does not include the impact of the coming fiscal cliff.
Here is the breakdown:
New Orders Index registered 50.3%, a decrease of 3.9 percentage points from October, indicating growth in new orders for the third consecutive month.
Production Index registered 53.7%, an increase of 1.3 percentage points, indicating growth in production for the second consecutive month.
Employment Index registered 48.4%, a decrease of 3.7 percentage points, which is the index’s lowest reading since September 2009 when the Employment Index registered 47.8%.
Prices Index registered 52.5%, reflecting a decrease of 2.5 percentage points.
JON C. OGG
The #1 Thing to Do Before You Claim Social Security (Sponsor)
Choosing the right (or wrong) time to claim Social Security can dramatically change your retirement. So, before making one of the biggest decisions of your financial life, it’s a smart idea to get an extra set of eyes on your complete financial situation.
A financial advisor can help you decide the right Social Security option for you and your family. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you.
Click here to match with up to 3 financial pros who would be excited to help you optimize your Social Security outcomes.
Have questions about retirement or personal finance? Email us at [email protected]!
By emailing your questions to 24/7 Wall St., you agree to have them published anonymously on a673b.bigscoots-temp.com.
By submitting your story, you understand and agree that we may use your story, or versions of it, in all media and platforms, including via third parties.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
