US manufacturing activity drops in April

The US Institute of Supply Management said today that the US manufacturing PMI fell to 60.7 points in April after rising to 64.7 in March, the highest level since December 1983. Analysts had expected industrial activity, which accounts for 11.9% of the US economy, to rise to 65 points in April, and the price index driven by manufacturers during April rose to the highest reading since July 2008.

The new orders index declined to 64.3 points in April from 68.0 points in March, which is the highest reading since January 2004, and the employment index fell to 55.1 points in April after rising to 59.6 points in March, the highest reading since February 2018.