Inland manufacturing index jumps in January
The Inland Purchasing Manager’s Index rose sharply last month, slightly more than 6 points from December, with production and new orders both showing double-figure gains.
The overall January PMI of 57.1 was measured against a seasonal dip for December, said Barbara Sirotnik, director of the Institute of Applied Research at Cal State San Bernardino, which gauges the local manufacturing economy.
The December report had forecast a January recovery.
It was the 13th consecutive month that the overall PMI registered above the growth benchmark of 50.
Nationally, the PMI was at 59.1 percent, a decrease of 0.2 points from the seasonally adjusted December number. It was the 105th consecutive month of growth for the overall economy, the Institute for Supply Management said.
For January, Inland production was up nearly 18 points, and new orders jumped more than 14 points over December. Commodity prices also continued to rise, part of a yearlong trend. Employment was at 50, down from 55, but was not a concern because it remained in the growth spectrum, Sirotnik noted in a release.
Thirty purchasing managers participated in the January survey. More than half said the economy will improve for the next quarter, just over 40 percent said it would remain at slow and steady growth, and only 4 percent thought it would weaken in the next three months, the institute said.
Purchasing Managers Index for January and how five key components changed since December.
Overall PMI: 57.1, up from 51.0
Commodity prices: 72.6, up from 66.7
Production: 66.1, up from 48.3
New orders: 61.3, up from 46.7
Inventory: 51.6, up from 48.3
Employment: 50.0, down from 55.0
Supplier Deliveries: 56.5, flat from 56.7
Source: Institute of Applied Research, Cal State San Bernardino