Business Activity at 56%; April Non-Manufacturing ISM Report On Business(R); New Orders Index at 55.5%; Employment Index at 51.9%.DO NOT CONFUSE con·fuse v. con·fused, con·fus·ing, con·fus·es v.tr. 1. a. To cause to be unable to think with clarity or act with intelligence or understanding; throw off. b. THIS NATIONAL REPORT with the various regional purchasing reports released across the country. The national report's information reflects the entire United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. , while the regional reports contain primarily regional data from their local vicinities. Also, the information in the regional reports is not used in calculating the results of the national report. The information compiled in this report is for the month of April 2007. TEMPE, Ariz. -- Business activity in the non-manufacturing sector increased at a faster rate in April 2007, say the nation's purchasing and supply Purchasing and Supply can have several different definitions. According to the Institute for Supply Management (ISM) [1], purchasing is defined as a major function of an organization that is responsible for acquisition of required materials, services, and equipment. executives in the latest Non-Manufacturing ISM Report On Business The Non-Manufacturing ISM Report on Business is a purchasing survey of the United States service economy, published by the Institute for Supply Management since June 1998. Its results are a popular economic indicator and forecaster. ([R]). The report was issued today by Anthony Nieves, C.P.M., CFPM CFPM Certified Food Protection Manager CFPM Canadian Forces Provost Marshal (Head of the Military Police in Canada) CFPM Center for Policy Modeling CFPM Certified Foodservice Purchasing Manager , chair of the Institute for Supply Management[TM] Non-Manufacturing Business Survey Committee; and senior vice president -- supply management for Hilton Hotels Corporation Hilton Hotels Corporation (NYSE: HLT) is one of the leading global hospitality companies. As of April 2007 there are 2,645 hotels and 485,000 rooms employing 105,000 people in more than 80 countries. . "Non-manufacturing business activity increased for the 49th consecutive month in April," Nieves said. He added, "Business Activity, New Orders and Employment increased at a faster rate in April than in March. The Prices Index increased slightly this month to 63.5 percent. Thirteen non-manufacturing industries reported increased activity in April. Members' comments in April are mixed about business conditions. There is continued concern with fuel and energy costs. The overall indication in April is continued economic growth in the non-manufacturing sector at a faster pace than in March." TOP PERFORMING INDUSTRIES The 13 industries reporting growth in April -- listed in order -- are: Arts, Entertainment & Recreation; Accommodation & Food Services food services Hospital services A 24/7 department in a hospital that provides for the nutritional needs of inpatients–eg, those needing special diets, preparing meals and transporting them to the floor and, through the cafeteria, the hospital staff and ; Transportation & Warehousing; Utilities; Information; Public Administration; Other Services(c); Retail Trade; Real Estate, Rental & Leasing; Finance & Insurance; Construction; Educational Services; and Health Care & Social Assistance. The two industries reporting decreased activity from March to April are: Wholesale Trade; and Professional, Scientific & Technical Services. WHAT RESPONDENTS In the context of marketing research, a representative sample drawn from a larger population of people from whom information is collected and used to develop or confirm marketing strategy. ARE SAYING ... * "Progressive improvement in the business cycle." (Transportation & Warehousing) * "We are showing signs of recovery from bad news. Transactions are increasing faster than our normal seasonal increase." (Accommodation & Food Services) * "Concerned about the rapid increase in energy cost." (Professional, Scientific & Technical Services) * "The level of business is maintaining an even level at this time. Capital projects are ramping upwards." (Educational Services) * "Sales in the first three months of the year are slower than expected while pressure to lower prices is increasing." (Wholesale Trade) [TABLE OMITTED] (a) Non-Manufacturing ISM Report On Business([R]) data is seasonally adjusted Seasonally adjusted Mathematically adjusted by moderating a macroeconomic indicator (e.g., oil prices/imports) so that relative comparisons can be drawn from month to month all year. for Business Activity, New Orders, Prices and Employment. Manufacturing ISM See ISM band. Report On Business([R]) data is seasonally adjusted for New Orders, Production, Employment, Supplier Deliveries and Inventories. (b) Number of months moving in current direction COMMODITIES REPORTED UP / DOWN IN PRICE, and IN SHORT SUPPLY Commodities Up in Price Airfare air·fare n. Fare for travel by aircraft. Noun 1. airfare - the fare charged for traveling by airplane fare, transportation - the sum charged for riding in a public conveyance (2); Aluminum; Cardboard Cardboard is a generic non-specific term for a heavy duty paper based product. Paperboard
Paperboard is a paper based material. It is often used for folding cartons, set-up boxes, carded packaging, etc. ; Construction Services; Copper Wire; Copy Paper; Electricity (3); #1 Diesel Fuel (2); #2 Diesel Fuel (2); Freight/Shipping (3); Fuel (3); Fuel Surcharges; Gasoline gasoline or petrol, light, volatile mixture of hydrocarbons for use in the internal-combustion engine and as an organic solvent, obtained primarily by fractional distillation and "cracking" of petroleum, but also obtained from natural gas, by (6); Gasoline Related; Hotel Costs (11); Labor; LDPE LDPE abbr. low-density polyethylene Films; Nickel nickel, metallic chemical element; symbol Ni; at. no. 28; at. wt. 58.69; m.p. about 1,453°C;; b.p. about 2,732°C;; sp. gr. 8.902 at 25°C;; valence 0, +1, +2, +3, or +4. Material; Office Furniture; Paper (39); Paper Products; Petroleum; Petroleum Products; Stainless Steel stainless steel: see steel. stainless steel Any of a family of alloy steels usually containing 10–30% chromium. The presence of chromium, together with low carbon content, gives remarkable resistance to corrosion and heat. Products; and Transportation. Commodities Down in Price Lumber lumber, term for timber that has been cut into boards for use as a building material. The major steps in producing lumber involve logging (the felling and preparation of timber for shipment to sawmills), sawing the logs into boards, grading the boards according to -- Pine, Spruce spruce, any plant of the genus Picea, evergreen trees or shrubs of the family Pinaceae (pine family) widely distributed in the Northern Hemisphere. The needles are angular in cross section, rather than flattened as in the related hemlocks and firs. and Treated; and Computer Equipment. Commodities in Short Supply Construction Services/Contractors (2); Purchasing and Supply Professionals; and Tires. Note: The number of consecutive months the commodity is listed is indicated after each item. APRIL 2007 NON-MANUFACTURING INDEX SUMMARIES Business Activity ISM's Non-Manufacturing Business Activity Index The Non-Manufacturing Business Activity Index is a seasonally adjusted index released by the Institute for Supply Management measuring business activity in the United States service economy as part of the Non-Manufacturing ISM Report on Business. in April registered 56 percent compared to the 52.4 percent registered in March, indicating a faster rate of growth in business activity in April. The implication implication In logic, a relation that holds between two propositions when they are linked as antecedent and consequent of a true conditional proposition. Logicians distinguish two main types of implication, material and strict. is that non-manufacturing business activity is continuing to increase for the 49th consecutive month. Thirteen industries reported increased business activity, and two reported decreased activity for the month of April. The industries reporting growth of business activity in April are: Arts, Entertainment & Recreation; Accommodation & Food Services; Transportation & Warehousing; Utilities; Information; Public Administration; Other Services(c); Retail Trade; Real Estate, Rental & Leasing; Finance & Insurance; Construction; Educational Services; and Health Care & Social Assistance. The industries reporting contraction contraction, in physics contraction, in physics: see expansion. contraction, in grammar contraction, in writing: see abbreviation. contraction - reduction of business activity in April are: Wholesale Trade; and Professional, Scientific & Technical Services. [TABLE OMITTED] THE LAST 12 MONTHS [TABLE OMITTED] New Orders ISM's Non-Manufacturing New Orders Index increased to 55.5 percent in April from the 53.8 percent registered in March. This indicates continued expansion of new orders at a faster rate than in March. Comments from members include: "Some of our new markets are picking up;" and "Increased sales, proposal and prospect activity." Industries reporting growth of new orders in April are: Accommodation & Food Services; Transportation & Warehousing; Arts, Entertainment & Recreation; Health Care & Social Assistance; Real Estate, Rental & Leasing; Public Administration; Utilities; Information; Other Services(c); Construction; Finance & Insurance; and Educational Services. The industries reporting contraction of new orders in April are: Agriculture, Forestry forestry, the management of forest lands for wood, water, wildlife, forage, and recreation. Because the major economic importance of the forest lies in wood and wood products, forestry has been chiefly concerned with timber management, especially reforestation, , Fishing & Hunting; Wholesale Trade; and Professional, Scientific & Technical Services. [TABLE OMITTED] Employment Employment activity in the non-manufacturing sector increased at a faster rate in April compared to March. This was the 33rd consecutive monthly increase in non-manufacturing employment. ISM's Non-Manufacturing Employment Index for April is 51.9 percent, a 1.1 percentage point increase from the 50.8 percent reported in March. Nine industries reported increased employment, five reported a decrease, and four indicated employment is unchanged from March. Comments from respondents include: "Planned staff reductions"; "Expect more orders"; and "Continued growth of business." The industries reporting growth in employment in April are: Arts, Entertainment & Recreation; Other Services(c); Retail Trade; Transportation & Warehousing; Health Care & Social Assistance; Construction; Finance & Insurance; Public Administration; and Information. The five industries reporting a reduction in employment in April are: Mining; Management of Companies & Support Services support services Psychology Non-health care-related ancillary services–eg, transportation, financial aid, support groups, homemaker services, respite services, and other services ; Wholesale Trade; Professional, Scientific & Technical Services; and Utilities. [TABLE OMITTED] Supplier Deliveries In April, the delivery performance of suppliers to non-manufacturing organizations was slower than in March. The index registered 51 percent, 1 percentage point higher than in March, indicating a slowing of supplier deliveries from an unchanged rate. A reading above 50 percent indicates slower deliveries. Comments from purchasing and supply executives concerning supplier deliveries in April include: "OEMs behind on manufacturing"; "Availability of trucks"; and "Supply exceeds demand." The industries reporting slowing in supplier deliveries in April are: Utilities; Arts, Entertainment & Recreation; Other Services(c); Information; and Health Care & Social Assistance. The industries reporting faster supplier deliveries in April are: Accommodation & Food Services; Professional, Scientific & Technical Services; Public Administration; and Wholesale Trade. [TABLE OMITTED] Inventories ISM's Non-Manufacturing Inventories Index registered 52 percent in April, indicating that inventories are growing at the same rate as March. Inventories are expanding for the third consecutive month after one month of contraction. Of the total respondents in April, 34 percent indicated they do not have inventories or do not measure them. Comments from members include: "Still in a reducing mode"; "Emphasis on reducing inventory at our customer as well as in our distribution center"; and "End of busy season. Inventories of products purchased for year-end year-end also year·end n. The end of a year. adj. Occurring or done at the end of the year: a year-end audit. Noun 1. have arrived." The industries reporting increases in inventories in April are: Arts, Entertainment & Recreation; Other Services(c); Finance & Insurance; Professional, Scientific & Technical Services; Information; and Retail Trade. The industries reporting decreases in inventories in April are: Agriculture, Forestry, Fishing & Hunting; Utilities; Wholesale Trade; and Transportation & Warehousing. [TABLE OMITTED] Prices Prices paid by non-manufacturing organizations for purchased materials and services increased in April for the 47th consecutive month. ISM's Non-Manufacturing Prices Index for April is 63.5 percent, 0.2 percentage point higher than March's index of 63.3 percent. In April, the percentage of respondents reporting higher prices increased by 4 percentage points to 42 percent as compared to March. The percentage indicating no change decreased from 58 percent in March to 54 percent in April. The percentage of respondents noting prices decreased remained the same at 4 percent in April. The industries reporting an increase in prices paid in April are: Mining; Educational Services; Real Estate, Rental & Leasing; Management of Companies & Support Services; Accommodation & Food Services; Utilities; Arts, Entertainment & Recreation; Public Administration; Wholesale Trade; Professional, Scientific & Technical Services; Health Care & Social Assistance; Retail Trade; Construction; Finance & Insurance; and Information. No industry reported a decrease in prices in April. [TABLE OMITTED] Backlog Backlog The total value of sales orders waiting to be fulfilled. Notes: This figure is used mainly in the manufacturing industry. Increases or decreases in a company's backlog indicate the future direction of sales and earnings. of Orders ISM's Non-Manufacturing Backlog of Orders Index registered 50 percent in April, 2.5 percentage points lower than the 52.5 percent reported in March. Of the total respondents in April, 43 percent indicated they do not measure backlog of orders. Purchasing and supply executives' comments include: "Due to shipping of orders, our backlog is beginning to reduce"; "Working off backlog"; and "Increased productivity." The industries reporting an increase in order backlogs in April are: Transportation & Warehousing; Arts, Entertainment & Recreation; Construction; Information; Management of Companies & Support Services; Other Services(c); Public Administration; and Finance & Insurance. The industries reporting a decrease in order backlogs in April are: Professional, Scientific & Technical Services; Wholesale Trade; Retail Trade; and Health Care & Social Assistance. [TABLE OMITTED] New Export Orders Orders and requests for services and other non-manufacturing activities to be provided outside of the United States by domestically based personnel in April increased after a month of contraction. The New Export Orders Index for April is 55.5 percent, compared to March's index of 48.5 percent. Of the total respondents in April, 69 percent indicated they either do not perform, or do not separately measure, orders for work outside of the United States. The industries reporting an increase in new export orders in April are: Mining; Management of Companies & Support Services; Information; Agriculture, Forestry, Fishing & Hunting; Accommodation & Food Services; Finance & Insurance; and Wholesale Trade. The industries reporting a decrease in new export orders in April are: Public Administration and Retail Trade. [TABLE OMITTED] Imports In April, the ISM Non-Manufacturing Imports Index registered 52.5 percent, 2.5 percentage points higher than March's index of 50 percent, indicating that use of imports increased in April when compared to March. In April, 65 percent of respondents reported that they do not use, or do not track, the use of imported materials. The industries reporting an increase in the use of imports in April are: Construction; Agriculture, Forestry, Fishing & Hunting; Utilities; Management of Companies & Support Services; Accommodation & Food Services; Information; and Retail Trade. The industries reporting a decrease in imports for the month of April are: Public Administration; Arts, Entertainment & Recreation; and Wholesale Trade. [TABLE OMITTED] Inventory Sentiment Sentiment can refer to:
The ISM Non-Manufacturing Inventory Sentiment Index sentiment index A numerical guide to investor feeling toward the securities markets that is constructed to determine whether certain segments of the investment community are bullish or bearish. in April registered 60.5 percent, 2.5 percentage points lower than the 63 percent reported in March. This indicates that non-manufacturing purchasing and supply executives feel less discomfort Discomfort may refer to pain, an unpleasant sensation, or to suffering, an unpleasant feeling or emotion. with current levels of inventory in April than they did during March. In April, 27 percent of respondents felt their inventories were too high, 6 percent indicated their inventories were too low, and 67 percent said that their inventories were about right. The industries reporting a feeling that their inventories are too high in April are: Other Services(c); Professional, Scientific & Technical Services; Transportation & Warehousing; Finance & Insurance; Real Estate, Rental & Leasing; Wholesale Trade; Construction; Management of Companies & Support Services; and Accommodation & Food Services. The industries reporting that their inventories are too low are: Utilities; Public Administration; and Retail Trade. [TABLE OMITTED] (c) Other Services include: Equipment & Machinery Repairing; Promoting or Administering TO ADMINISTER, ADMINISTERING. The stat. 9 G. IV. c. 31, S. 11, enacts "that if any person unlawfully and maliciously shall administer, or attempt to administer to any person, or shall cause to be taken by any person any poison or other destructive things," &c. every such offender, &c. Religious Activities; Grantmaking; Advocacy; and Providing Dry-Cleaning dry-clean tr.v. dry-cleaned, dry-clean·ing, dry-cleans To clean (clothing or fabrics) with chemical solvents that have little or no water. dry cleaner n. & Laundry Laundry can be:
Before industrialization Services, Personal Care Services, Death Care Services, Pet Care Services, Photofinishing pho·to·fin·ish·ing n. The act or business of developing camera films and printing photographs for customers. pho Services, Temporary Parking Services, and Dating Services. About this Report The data presented herein is obtained from a survey of non-manufacturing supply managers based on information they have collected within their respective organizations. ISM makes no representation, other than that stated within this release, regarding the individual company data collection procedures. Use of the data is in the public domain and should be compared to all other economic data sources when used in decision-making decision-making, n the process of coming to a conclusion or making a judgment. decision-making, evidence-based, n a type of informal decision-making that combines clinical expertise, patient concerns, and evidence gathered from . Data and Method of Presentation The Non-Manufacturing ISM Report On Business([R]) is based on data compiled from purchasing and supply executives nationwide. Membership of the Non-Manufacturing Business Survey Committee is diversified diversified (di·verˑ·s by NAICS NAICS North American Industry Classification System , based on each industry's contribution to gross domestic product (GDP GDP (guanosine diphosphate): see guanine. ). The Non-Manufacturing Business Survey Committee responses are divided into the following NAICS code categories: Agriculture, Forestry, Fishing & Hunting; Mining; Utilities; Construction; Wholesale Trade; Retail Trade; Transportation & Warehousing; Information; Finance & Insurance; Real Estate, Rental & Leasing; Professional, Scientific & Technical Services; Management of Companies & Support Services; Educational Services; Health Care & Social Assistance; Arts, Entertainment & Recreation; Accommodation & Food Services; Other Services(c); and Public Administration. Survey responses reflect the change, if any, in the current month compared to the previous month. For each of the indicators measured (Business Activity, New Orders, Backlog of Orders, New Export Orders, Inventory Change, Inventory Sentiment, Imports, Prices, Employment and Supplier Deliveries), this report shows the percentage reporting each response, the net difference between the number of responses in the positive economic direction (higher and slower for Supplier Deliveries) and the negative economic direction (lower and faster for Supplier Deliveries). Responses represent raw data and are never changed. Data is seasonally adjusted for Business Activity, New Orders, Prices and Employment. The remaining indexes have not indicated significant seasonality. Diffusion indexes Diffusion Index 1. A measure of the percentage of stocks that have advanced in price or are showing a positive momentum over a defined period. It is used in the technical analysis of stocks. 2. have the properties of leading indicators Leading Indicator A measurable economic factor that changes before the economy starts to follow a particular pattern or trend. Leading indicators are used to predict changes in the economy, but are not always accurate. and are convenient summary measures showing the prevailing direction of change and the scope of change. An index reading above 50 percent indicates that the non-manufacturing economy in that index is generally expanding; below 50 percent indicates that it is generally declining. Supplier Deliveries is an exception. A Supplier Deliveries Index above 50 percent indicates slower deliveries and below 50 percent indicates faster deliveries. The Non-Manufacturing ISM Report On Business([R]) is published monthly by the Institute for Supply Management[TM], the largest supply management research and education organization in the United States. The Institute for Supply Management[TM], established in 1915, is the largest supply management organization in the world as well as one of the most respected. ISM's mission is to lead the supply management profession through its standards of excellence, research, promotional activities and education. The full text version of the Non-Manufacturing ISM Report On Business([R]) is posted on ISM's Web site at www.ism.ws on the third business day of every month after 10:10 a.m. (ET). The next Non-Manufacturing ISM Report On Business([R]) featuring the May 2007 data will be released at 10:00 a.m. (ET) on Tuesday Tuesday: see week. , June June: see month. 5, 2007. |
|
||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion