The Institute for Supply Management released the purchasing managers index (PMI) for October, which showed a fifth consecutive month of growth for the industry. At 56.4, the PMI was at its highest since April 2011. Any reading above 50 indicates growth.
The news was certainly welcome in the face of concern about the effects of the government shutdown. The outlook remains positive for many sectors of the manufacturing industry, particularly automotive and aerospace.
While respondents for the PMI were all generally positive about the direction of their business, many continued to voice concerns over uncertainty around the government’s direction, a sentiment echoed by many business leaders from a number of industries.
Speaking on NPR’s All Things Considered on Oct. 31, Delta Airlines CEO Richard Anderson said, “The government needs to solve the sequester issue and the debt ceiling issue permanently. And regardless of whether you’re a Republican or a Democrat, if you’re in the leadership of the most powerful, wealthiest nation in the world, it’s just not acceptable that we lurch from event to event every 90 days. And that’s what’s causing a lot of the angst in the economy.”
Read the full ISM report here.