Missouri’s Purchasing Managers’ Index (PMI) for November was 57.1, 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 ISM national manufacturing index decreased in November to 58.7 from 59 the previous month. The national index is above the neutral threshold of 50 for 18 consecutive months. The index indicators that increased were New Orders (66), Imports (56.0), New Export Orders (55) and Supplier Deliveries (56.8). The index indicators that declined were Production (64.4), Inventories (51.5), and Employment (54.9). The ISM non-manufacturing index increased in November to 59.3 from 57.1 the previous month. The index indicators that increased were Business Activity (64.4), Exports (57), Inventories (55.5), Backlogs (55.5), and New Orders (61.4). The index indicators that declined were Imports (53.5) and Employment (56.7).
Missouri’s November PMI declined to 54.9 from 57.1 the previous month. The index has been above the neutral threshold of 50 for 23 consecutive months. Other states in the survey were Arkansas (43.7), Iowa (50.1), Kansas (62.2), Minnesota (58), Nebraska (51.6), North Dakota (53.4), Oklahoma (54.5) and South Dakota (51.5). Overall, November’s Mid American Regional Index declined to 51.3 from the previous month’s score of 51.8. The decline of the index may show concerns about the economy in the short term, but the index has been above 50 for 21 consecutive months which shows the economy is still growing.
Note: The national purchasing manager's indices are produced by the Institute for Supply Management, formerly the Purchasing Management Association.