Home » NEWS » Education » University releases Southeast manufacturing report

University releases Southeast manufacturing report

manufacturingKENNESAW, Ga. — Manufacturing activity in the Southeast increased in January, moving in the opposite direction of the nation’s manufacturing activity, according to the Southeast Purchasing Managers Index (PMI) report released by Kennesaw State University’s Econometric Center in the Michael J. Coles College of Business. The Southeast PMI increased 2.2 points to 50.6, while the National PMI decreased 5.2 points to 51.3.

“While the Southeast January PMI increase of 2.2 points moved the PMI to a level of growth, new orders and production still remain below 50,” said Don Sabbarese, director of the Econometric Center at Kennesaw State. “However, 62 percent of respondents expect higher future production in the next three to six months, which may sustain manufacturing growth in the near future.”

Six Southeastern states — Alabama, Florida, Georgia, Louisiana, Mississippi and Tennessee — are included in the Econometric Center’s monthly regional report. Three states — Alabama, Florida and Mississippi — recorded higher PMI readings. Alabama, Louisiana and Tennessee recorded higher new orders and production, which contributed to the 2.2-point increase.

Highlights of the January Southeast PMI include:

  • New orders increased 6.1 points to 49 based on increases for Alabama, Louisiana and Tennessee
  • Production increased 5.1 points to 47.9, based on increases for Alabama, Louisiana and Tennessee
  • Employment increased 3.2 points to 55.2, based on increases for Alabama, Louisiana, Mississippi and Tennessee
  • Supplier delivery decreased 4.1 points to 51, based on decreases for Alabama, Florida, Georgia and Louisiana
  • Finished inventory increased 1.0 point to 50, based on increases for Georgia, Mississippi and Tennessee
  • Commodity prices increased 5.4 points to 65.6, based on increases for Alabama, Florida, Louisiana and Mississippi

The Southeast PMI reading is a composite of five variables — new orders, production, employment, supply deliveries and finished inventory. A sixth variable, commodity prices, is compiled by the Coles College’s Econometric Center but does not go into the PMI calculation.

BEFORE YOU GO…

… we’d like to ask for your support. More people are reading the Mississippi Business Journal than ever before, but advertising revenues for all conventional media are falling fast. Unlike many, we do not use a pay wall, because we want to continue providing Mississippi’s most comprehensive business news each and every day. But that takes time, money and hard work. We do it because it is important to us … and equally important to you, if you value the flow of trustworthy news and information which have always kept America strong and free for more than 200 years.

If those who read our content will help fund it, we can continue to bring you the very best in news and information. Please consider joining us as a valued member, or if you prefer, make a one-time contribution.

Click for more info

About MBJ Staff

One comment

Leave a Reply

Your email address will not be published. Required fields are marked *

*