Purchasing index falls in June for second straight month
The Southeast Michigan Purchasing Managers Index dipped in June, falling 1.1 points to a level of 58.8. It was the second straight monthly decline after hitting a high in April of 62.7. The index's three-month average is 60.5. A level above 50 indicates an expanding economy. The index has been above that threshold since June 2014. Among individual components of the index, production rose from 60.9 to 61.5; commodities fell from 60.9 to 53.8; and employment fell from 75 to 57.7. The vast majority of respondents, 92.8 percent, said they expect the economy to remain stable over the next six months. "While survey respondents were overwhelmingly optimistic about the stability of the regional economy, individual respondents still mentioned the potential impacts of things like the recent Brexit vote and – to a greater extent – the fall 2016 election," Kenneth Doherty, assistant vice president of procurement and strategic sourcing at Wayne State University and a board member of the Institute for Supply Management, said in a news release. The index is a research partnership between Wayne State's Mike Ilitch School of Business and the institute.
