August manufacturing slowed slightly.TEMPE, AZ -- Manufacturing continued to grow in August, but at its slowest rate in five years. The August PMI See Private Mortgage Insurance. was down a slight 0.9 points from July July: see month. , while new orders for manufactured durable goods durable goods Goods, such as appliances and automobiles, that have a useful life over a number of periods. Firms that produce durable goods are often subject to wide fluctuations in sales and profits. Also called consumer durables. dropped 2.2 points, according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. trade group ISM See ISM band. (ism.ws). Inventories were also down, at 45.4%, as were customer inventories, at 49%. Backlogs slipped 1.5 points. Production, however, rose to 56.1%. Employment was up 1.1 points. "Viewed from the manufacturing sector, the overall economy continues to grow at a significant rate. Comparing August to July, the rate of growth in manufacturing was slightly less, but continues the expansion. Both the new orders index and the production index are encouraging for continuing growth as we head toward the fourth quarter," ISM spokesman Norbert Ore said. A PMI over 41.9%, over a period of time, generally indicates an expansion of the overall economy. Economic activity in the manufacturing sector expanded in August for the seventh consecutive month, while the overall economy grew for the 70th consecutive month, ISM said.
APR. MAY JUNE JULY AUG.
PMI 54.7 55.0 56.0 53.8 52.9
New orders 58.5 59.6 60.3 57.5 55.3
Production 57.3 58.3 62.9 55.6 56.1
Inventories 46.3 46.1 45.3 48.5 45.4
Customer inventories 47.0 48.0 47.0 51.0 49.0
Backlogs 54.5 52.5 53.5 52.0 50.5
Source: Institute for Supply Management, Sept. 4, 2007
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