Missouri’s Purchasing Managers’ Index (PMI) for March was 62.4, a decrease of 4.2 points according to the monthly Mid-America 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.
The April PMI® for manufacturing registered 54.8 a decrease of 2.4 points from the March reading. New Orders (57.5) decreased by 7.0 points while Production (58.6) showed an increase of 1.0 points. Supplier Deliveries (55.1) decreased by 0.8 points while Inventories (51.0) increased 2.0 points from March. Employment (52.0) decreased by 6.9 points from the prior month.
According to the PMI® report, Of the 18 manufacturing industries, 16 reported growth in April: Electrical Equipment, Appliances & Components; Apparel, Leather & Allied Products; Textile Mills; Nonmetallic Mineral Products; Furniture & Related Products; Plastics & Rubber Products; Fabricated Metal Products; Printing & Related Support Activities; Machinery; Paper Products; Chemical Products; Food, Beverage & Tobacco Products; Primary Metals; Miscellaneous Manufacturing; Computer & Electronic Products; Petroleum & Coal Products; and Transportation Equipment.
The non-manufacturing survey index for April was 57.5, increasing over the month by 2.3 points and still in expansion territory. Business activity (62.4) increased by 3.5 points while New Orders (63.2) increased by 4.3 points. Inventory (52.5) increased by 4.0 points in April. Supplier Deliveries (53.0) increased by 1.5 points while Employment (51.4) decreased 0.2 points.
The 16 non-manufacturing industries reporting growth in April are: Wholesale Trade; Utilities; Arts, Entertainment & Recreation; Mining; Retail Trade; Construction; Professional, Scientific & Technical Services; Information; Management of Companies & Support Services; Public Administration; Health Care & Social Assistance; Real Estate, Rental & Leasing; Other Services; Finance & Insurance; Accommodation & Food Services; and Transportation & Warehousing.
Missouri’s April PMI decreased 4.2 points over the month to 62.4—still well above the 50.0 percent expansion threshold. Other states in the survey were Arkansas (61.1), Iowa (64.7), Kansas (56.4), Minnesota (61.2), Nebraska (61.0), North Dakota (57.3), Oklahoma (61.2) and South Dakota (68.8). Overall, the April Mid America Regional Index increased to 61.4 from the previous month’s score of 60.1 percent.
Note: The national purchasing manager's indices are produced by the Institute for Supply Management, formerly the Purchasing Management Association.