Photo: Mike Brown/Getty Images
The manufacturing industry in the New York region showed surprising weakness in May, new data out of the Institute for Supply Management shows.The key ISM index fell to 49.9 from 61.2 in April, where a reading below 50 indicating contraction. There was no consensus estimate for the May report.
The Institute blamed the fall on declining purchase volumes and a sudden contraction in employment, with 21 per cent of businesses reporting a shortage of skilled labour as an impediment to business.
Expectations of economic performance also declined in the May report.
“Future optimism grinded down to a seven-month low, but remained in expansion territory suggesting any slowdown might be temporary,” the Institute said in a statement. “The Six-Month Outlook index fell to 60.2 in May from 63.1 in April.”
Below, key output from the report.
Photo: ISM New York