US ISM Manufacturing Index recovered to 43.1 in May, up from 41.5, beat expectation of 42.5. Looking at some details, new orders rose 4.7 pts to 31.8. Production rose 5.7 pts to 33.2. Employment rose 4.6 points to 32.1. All these components stayed deep in contraction. Though, supplier deliveries improved and dropped -8.0 pts to 68.0.
Timothy Fiore Chair of ISM Manufacturing Business Survey Committee: “The coronavirus pandemic impacted all manufacturing sectors for the third straight month. May appears to be a transition month, as many panelists and their suppliers returned to work late in the month. However, demand remains uncertain, likely impacting inventories, customer inventories, employment, imports and backlog of orders.”
