August 20, 2012 - The monthly Economic Indicators Report (EIR) from the Industrial Supply Association showed a slight decrease.
The report showed manufacturer activity in July at 60.42% compared to 59.44% the previous month and the distributor index of 63.53% compared to 60.19% in June. For each index, a reading above 50% indicates expansion, while a reading below 50% indicates contraction.
Both numbers are higher than the Institute for Supply Management’s PMI of 49.8 for the month of July and the Markit U.S. Manufacturing Purchasing Managers Index of 51.4.
“The eroding economic situation in Europe and the weakening manufacturing conditions in China are having an effect on the U.S.,” said John Buckley, ISA executive vice president. “The domestic purchasing manager’s index published by ISM declined for two consecutive months for the first time since 2009, indicating business in the U.S. is slowing. While the industrial supply industry has done pretty well for the past few years, there is growing concern for the remainder of 2012.”
For additional information contact John Buckley at [email protected] or 718-423-2113.
The Industrial Supply Association is the leading association for members of the maintenance, repair, operations and production (MROP) supply chain, representing nearly 1,000 companies worldwide.