none

US MANUFACTURING ACTIVITY HITS TWO-YEAR LOW

08-11-2015
by 
in 

US manufacturing activity grew last month at its slowest pace since May 2013 as manufacturers cut jobs.

But manufacturers are hopeful a rise in new orders will offset the effects of a strong dollar and big spending cuts by energy companies.
The Institute for Supply Management reported that its index of factory activity slipped to 50.1 in October from 50.2 in September.

The figures barely signal growth, which is any reading above 50.

The report showed that a measure of hiring fell sharply, from 50.5 to 47.6 – meaning that manufacturers axed jobs last month.

Other data showed construction spending rose in September, indicating the economy remained on firmer ground despite signs of consumer spending cooling.
Given that manufacturing accounts for only 12 per cent of the economy, analysts said it was unlikely to influence the Federal Reserve's decision whether to raise interest rates this year.
"We are marginally encouraged by a pickup in the new orders, but export orders continue to contract. We do not expect the manufacturing data will cause the Fed to push the first rate hike back into 2016," said John Ryding, chief economist at RDQ Economics in New York.
Strong car sales, which are running at their highest level in a decade, are one of the few trends working in the opposite direction.

Related news & editorials

  1. 24.09.2018
    24.09.2018
    by      In
    CSIRO is shooting for the Moon this week at 18th Australian Space Research Conference on the Gold Coast with the launch of an industry roadmap designed to encourage the development of the technological expertise to help to establish a human base on the Moon.
    The report, “Space: A roadmap for... Read More
  2. 20.09.2018
    20.09.2018
    by      In
    Control Logic has set its sights on expansion, with a new leadership team incorporating key roles in products and marketing, sales and development, and operations and services. The move aims to increase the company’s skill set and focus to drive innovation and expand the company’s expertise and... Read More
  3. 19.09.2018
    19.09.2018
    by      In
    The Australian Made Campaign is providing some valuable support for the nation’s furniture manufacturers with its latest initiative, which urges local buyers to ‘take comfort in their purchase’ and choose genuine Aussie furniture, bedding and furnishings this spring.
    According to Australian Made... Read More
  4. 12.09.2018
    12.09.2018
    by      In
    Siemens has unveiled its new manufacturing facility in Yatala (Queensland), which has been set up to support the growing global demand for the locally developed Fusesaver medium-voltage circuit breaker.
    The new factory is part of an ongoing $25 million investment in manufacturing and research of... Read More