Tuesday, August 5, 2008

Non-Manufacturing Index (NMI) is at 49.525

The Institute for Supply Management released their July 2008 Non-Manufacturing ISM Report on Business today. The Non-Manufacturing Index (NMI) came in at 49.525%.  50% is the breakpoint for growth. NMI had plunged to 44.6% in January 2008 but has been between 48%-52% for the last 6 months.

NMI is made up of four components: business activity, employment, new orders, and supplier deliveries. Business activity was at 49.6% in July down from 49.9% in June; employment was at 47.1% up from 43.8%; new orders were at 47.9% down from 48.6%; and supplier deliveries were at 53.5% up from 50.5%.

Here is what some of the respondents were saying:

  • "Our business remains at about the same level as the previous month, with continued focus on cost reduction." (Finance & Insurance)
  • "The general state of the home-building industry has not changed since last month; however, with the commodity and code changes going into 2009, we face much higher construction costs and reduced margins across the entire supply chain." (Construction)
  • "Continue to see slowdown in local economy." (Health Care & Social Assistance)
  • "While still positive, the overall outlook for 2008 for our company is not as high as earlier in the year." (Wholesale Trade)
  • "Governmental spending for services is up this period." (Professional, Scientific & Technical Services)

Digg my article

Sphere: Related Content