April PMI Report a Mixed Bag PDF Print E-mail
Written by Mike Buetow   
Friday, 02 May 2008 05:18
TEMPE, AZ -- Manufacturing failed to grow for the third consecutive month in April as the PMI registered 48.6%, flat with March.

The good news: Backlogs grew, breaking six consecutive months of decline, and new export orders showed continued strength. Customers inventories dropped. The Computer and Electronic Products sector reported growth in April.

A PMI reading above 50% indicates that the manufacturing economy is generally expanding.

The general economy appears to be growing, however, as a PMI over 41.1%, over a period of time, generally indicates expansion. The year-to-date PMI is 49.1%.

ISM spokesman Norbert Ore stated, "The past relationship between the PMI and the overall economy indicates that the average PMI for January through April corresponds to a 2.5% increase in real gross domestic product. In addition, if the PMI for April is annualized, it corresponds to a 2.4% increase in real GDP annually.

"The manufacturing sector failed to grow in April as the PMI fell below 50% for the third consecutive month, he added. "Manufacturers are in a situation where both new orders and production are slowly declining, but prices continue to rise at highly inflationary rates."

For the month, backlogs were up 4 points to 51.5%, customer inventories dropped 6 points to 45%, new orders were flat at 46.5%, and production ticked up to 49.1%.

Last Updated on Friday, 02 May 2008 06:49
 

Columns

Eastern-US: China’s New Competitor?

Parity emerges among EMS Factories from Asia, Mexico and the US.

For the first time in years we see parity in the Eastern US among EMS factories from Asia, Mexico and the US. This EMS market condition will permit American OEMs (the EMS industry refers to OEMs as customers) to have more EMS pathways to choose from. Now more than ever, such EMS assignments will require deeper investigation relating to the OEMs’ evaluation of manufacturing strategies.

Read more...
 
The Human Touch

For those who count on the electronics industry for big feats, it’s been a remarkable couple of years.

Read more...
 

Features

Advances in Concentration Monitoring and Closed-Loop Control

Contaminated bath water skews refractive index results. New technology can accurately measure aqueous cleaning agent concentration.

Read more...
 
Circuits Disassembly: Materials Characterization and Failure Analysis

A systematic approach to nonconventional methods of encapsulant removal.

Read more...
 

Search

Search

Login

CB Login

Language

Language

English French German Italian Portuguese Russian Spanish
 

Products

Panasonic Debuts PanaCIM Maintenance with Augmented Reality
PanaCIM Maintenance with Augmented Reality software provides instant communication and information to factory technicians -- when and where it is needed -- so they can respond to factory needs more...