WASHINGTON – U.S. manufacturers grew at a slower pace in May as measures of orders and production dipped. Factories also added jobs at a slower pace.
The Institute for Supply Management says its manufacturing index fell to 53.2 last month from 54.9 in April. That's the lowest level since February. Any reading above 50 indicates expansion.
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The retreat in the ISM's index is the latest sign that manufacturing activity is growing at only a modest pace.
A measure of prices paid by manufacturers jumped, a sign that factories are paying more for raw materials. If companies pass on those costs, that could lift inflation in the coming months.
The Institute for Supply Management says its manufacturing index fell to 53.2 last month from 54.9 in April. That's the lowest level since February. Any reading above 50 indicates expansion.
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ADVERTISEMENT
The retreat in the ISM's index is the latest sign that manufacturing activity is growing at only a modest pace.
A measure of prices paid by manufacturers jumped, a sign that factories are paying more for raw materials. If companies pass on those costs, that could lift inflation in the coming months.
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