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PT Solid Gold Berjangka | US Factory Activity Contracts as Orders Slide, Output Weakens

02:30 04 June in Economy, PT SGB, SOLID GOLD BERJANGKA | SOLID GROUP
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ECONOMIC ekonomi A.S ISM AS ISM Manufacturing PMI PT SGB Solid Group SG Berjangka Solid Gold Berjangka

Solid Gold Berjangka | US factory activity shrank in May at a faster pace as output came close to stagnating and a measure of orders fell by the most in nearly two years.

The Institute for Supply Management’s manufacturing gauge fell 0.5 point to 48.7, the weakest in three months, data out Monday showed. Readings less than 50 indicate contraction.

The purchasing managers group’s measure of new orders slid 3.7 points, the biggest drop since June 2022, to 45.4 in May. The bookings index now stands at the lowest level in a year, suggesting demand across the economy is weakening. As a result, ISM’s production index slipped to 50.2.

The figures indicate US manufacturing is struggling to gain momentum due to high borrowing costs, restrained business investment in equipment and softer consumer spending. At the same time, producers are battling elevated input costs.

While the ISM’s index of prices paid for materials and other inputs eased to 57 last month, it’s still the second-highest in about two years.

One hopeful sign for domestic producers was a gauge of export demand grew for the third time in the last four months.

Another was a pickup in factory employment. The group’s measure climbed to 51.1 in May, the highest since August 2022 and suggesting producers are having more success securing labor.

Source : Bloomberg