Missouri’s Purchasing Managers’ Index (PMI) for June was 59.3, 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 decreased in June to 55.3 from 55.4 the previous month. The national index has been above the neutral threshold of 50 for 13 consecutive months, even with the slight reduction. Index indicators that grew were Imports (57) and New Orders (58.9). The index indicators that declined were Production (60), New Export Orders (54.5), and Supplier Deliveries (51.9). The index indicator that saw no change was Inventories (53) and Employment (52.8). The ISM non-manufacturing index decreased in June to 56 from 56.3 the previous month. The index indicators that grew were Employment (54.4), Exports (55), and New Orders (61.2). The index indicators that declined were Business Activity (57.5), Backlogs (53), Imports (53), and Inventories (53.5).
Missouri’s June PMI increased to 59.3 from 57.7 the previous month. The index is at its highest point since June 2012. The index has also been above the neutral threshold of 50 for 18 consecutive months. Other states in the survey were Arkansas (51.3), Iowa (67.8), Kansas (59.4), Minnesota (70.1), Nebraska (55.2), North Dakota (61.6), Oklahoma (66.6) and South Dakota (69.5). Overall, June’s Mid American Regional Index increased to 60.6 from the previous month’s score of 60.5. The increase of the PMI suggests that economic growth will continue in the short-term.
Note: The national purchasing manager's indices are produced by the Institute for Supply Management, formerly the Purchasing Management Association.