Updated: 01-Sep-23 10:31 ET

August ISM Manufacturing Index

Updated: 01-Sep-23 10:31 ET

Highlights

• The August ISM Manufacturing Index rose to 47.6% in August (Briefing.com consensus 46.7%) from 46.4% in July.
• The dividing line between expansion and contraction is 50.0%. The sub-50.0% reading for August reflects a general contraction in manufacturing activity for the tenth straight month, albeit at a slower rate than the pace of contraction in July.

Key Factors

• The New Orders Index dipped to 46.8% from 47.3%.
• The Prices Index rose to 48.4% from 42.6%.
• The Backlog of Orders Index jumped to 44.1% from 42.8%.
• The Supplier Deliveries Index increased to 48.6% from 46.1%.
• The Production Index rose to 50.0% from 48.3%.
• The New Export Orders Index edged higher to 46.5% from 46.2%.
• The Employment Index increased to 48.5% from 44.4%.

Big Picture

• The key takeaway from the report is that manufacturing demand remains soft, yet conditions in the manufacturing sector, slow they may be, appear to be stabilizing.

Category	AUG	JUL	JUN	MAY	APR
Total Index	47.6	46.4	46.0	46.9	47.1
Orders	46.8	47.3	45.6	42.6	45.7
Production	50.0	48.3	46.7	51.1	48.9
Employment	48.5	44.4	48.1	51.4	50.2
Deliveries	48.6	46.1	45.7	43.5	44.6
Inventories	44.0	46.1	44.0	45.8	46.3
Export Orders	46.5	46.2	47.3	50.0	49.8
Prices paid (not seas adj)	48.4	42.6	41.8	44.2	53.2