Here is some good news to start your year.
The Institute for Supply Management announced yesterday that its PMI national manufacturing index came in at 54.7 for December 2016, which is up from 53.2 in November and is the highest monthly reading of 2016. (Any reading over 50 signals growth.) This latest Manufacturing ISM® Report On Business® shows new orders, production and employment growing, inventories contracting, and supplier deliveries slowing.
The PMI is based on data compiled from purchasing and supply executives nationwide, on a monthly basis. It’s a measure of what and how much manufacturing companies are buying now so that they can produce from those supplies in the near future. The PMI is not a measurement of actual manufacturing activity or output, but is considered a solid short-term leading indicator of performance.
The ISM report also points out that the overall U.S. economy grew for the 91st consecutive month in December. Let the good times roll!
Click here to view the full report.
Exit Strategies Group, Inc. pays close attention to performance trends in the manufacturing and supply chain sectors of the California and U.S. economy. If you’re in need of business valuation, succession planning or M&A brokerage services for your manufacturing or wholesale distribution business, give Al Statz a call for a confidential consultation at 707-781-8580.