Economic manufacturing activity contracted for the eighth consecutive month in June. According to the most recent ISM Report On Business, the June manufacturing PMI registered as 46%, which is 0.9 percentage points lower than it was in May.
The food, beverage, and tobacco industry reported contraction along with 10 other industries. The industry saw contracting inventories and reported customers’ inventories as too low. On a positive note, the food, beverage, and tobacco industry reported employment growth during the month of June and also saw faster supplier deliveries.
According to one industry respondent, “There is an elevated level of capital project review as recession concerns loom. While not delayed, spending and planning are being managed and prioritized.”
