Key Points:
- The Manufacturing Purchasing Managers Index (PMI) captures business conditions in the manufacturing sector.
- Readings above 50 imply the economy is expanding while readings below 50 imply economic contraction.
- Manufacturing PMI decreased to 58.3 in November from 59.1 in October, an 11-month low.
- November’s reading was the second weakest rise in production over the past 14 months.
- The 0.8 loss exceeded the consensus among economists of no change from October.
- Longer lead times, supplier shortages and higher energy prices meanwhile pushed the rate of cost inflation to a fresh series high.
- Employment increased further in November, but the rate of job creation slowed to only a modest pace, as labor shortages stymied efforts to fill current vacancies.
- The Right Facts will continue to monitor manufacturing PMI.