Editor's PiCK
U.S. June Manufacturing PMI at 52.9…Exceeds Market Expectations
Summary
- The U.S. June Manufacturing PMI was reported at 52.9, exceeding Wall Street expectations.
- This PMI figure is the highest since May 2022, recording six consecutive months of expansion in manufacturing activity.
- Chief Economist Chris Williamson mentioned price pressure and the possibility of a slowdown in growth in the second half of the year.
The U.S. June Manufacturing Purchasing Managers' Index (PMI) slightly exceeded expectations.
On the 1st (local time), S&P Global announced that the Manufacturing Purchasing Managers' Index for June stood at 52.9, slightly surpassing Wall Street's forecast of 52.0.
The S&P Global report stated, "This manufacturing PMI marks the highest level since May 2022 and indicates strong economic expansion, with figures above 50 for six consecutive months," and added, "Manufacturers recorded an increase in production for the first time in four months." It continued, "Companies expect sales to rise, anticipating improved business conditions and reduced trade uncertainty."
Chris Williamson, Chief Economist at S&P Global, analyzed, "In June, U.S. manufacturing production returned to growth," and explained, "The increase in orders from both domestic and overseas customers directly drove higher workloads and production recovery." However, he noted, "This may be due to customers placing advance inventory orders to hedge against tariff-driven price increases," and added, "Price pressures have already accumulated, and growth could slow in the second half of the year."
The Purchasing Managers' Index (PMI) uses 50 as a baseline to gauge expansion or contraction. A PMI above 50 indicates economic expansion, while below 50 signifies contraction.
Son Min
sonmin@bloomingbit.ioHello I’m Son Min, a journalist at BloomingBit
