5:33 am August 2, 2011, by Henry Unger
Manufacturing in Georgia — the sector that is supposed to be helping us dig out of this economic mess — is faltering.
July turned out to be another bad month, signaling what is becoming a disturbingly negative trend, AJC reporter David Markiewicz writes.
The Purchasing Manager’s Index declined for the fourth straight month, according to a new report from the Econometric Center at Kennesaw State University’s Coles College of Business, Markiewicz reports.
New orders, production, employment, finished inventory and commodity prices all fell significantly in July from June, Markiewicz writes.
“The drop off was expected, but its magnitude was unexpected,” said Don Sabbarese, director of the Econometric Center.
Georgia’s PMI for July was 50.7. That’s down from 56.9 in June, 64.6 in May, 67.4 in April and 67.6 in March, Markiewicz writes. A PMI reading of more than 50 indicates that manufacturing activity is expanding, while a reading of less than 50 is an indication of contraction.
Meanwhile, manufacturers throughout the U.S. had their weakest growth in two years in July, Associated Press reports.
The Institute for Supply Management said its index of manufacturing activity fell to 50.9 percent in July from 55.3 percent in June, AP writes. The reading was the lowest since July 2009 — one month after the recession officially ended.
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In other media:
- Henry Unger, The Biz Beat
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