Missouri’s Purchasing Managers’ Index (PMI) for November was 51.9, according to the monthly Mid-American Business Conditions Survey, conducted by Creighton University, Omaha, NE.
Economists consider the index, which measures such factors as new orders, production, supplier delivery times, backlogs, inventories, prices, employment, import orders and exports, a key economic indicator. Typically, a score greater than 50 indicates an expansionary economy, while a score below 50 forecasts a sluggish economy for the next three to six months.
The national PMI for manufacturing industries for November increased to 57.3 from 56.4 the previous month. The index is above the neutral threshold of 50 for the 11th time in 12 months. Index indicators that increased were Production (62.8), Employment (56.5), New Export Orders (59.5), and New Orders (63.6). Index indicators that declined were Supplier Deliveries (53.2) and Inventories (50.5). Imports (55.5) was the only index indicator that remained unchanged. The ISM non-manufacturing index decreased in November to 53.9 from 54.4 in the previous month. The index indicator that grew was Exports (58). Index indicators that declined were New Orders (56.4), Business Activity (55.5), Employment (52.5), Inventories (54) and Backlogs (49). The indicator that saw no change was Imports (55).
Missouri’s November PMI decreased to 51.9 from 54.3 the previous month. Other states in the survey include Arkansas (51.1), Iowa (59.2), Kansas (51.5), Minnesota (55.7), Nebraska (48.3), North Dakota (55.3), Oklahoma (49.3) and South Dakota (52.3). Overall, November’s Mid American Regional Index increased to 51.2 from the previous month’s score of 50. The increase of the PMI suggest that growth may be occurring, but it is a segment that still needs to be observed.
Note: The national purchasing manager's indices are produced by the Institute for Supply Management, formerly the Purchasing Management Association.