Southeast Michigan Purchasing Managers Index bounces back
The Southeast Michigan Purchasing Managers Index bounced back in December following the end of the contentious U.S. presidential election. The index gained 3.9 points to reach a value of 61.9, from November's value 57 after an eight-month high of 67.2 in October. A value above 50 indicates an expanding economy. "We've experienced a see-sawing trend over the past six months between the mid-50s and 60s. While there have been ups and downs, these are all solid PMI values," Nitin Paranjpe, a finance faculty member in Wayne State University's Mike Ilitch School of Business, said in a news release. "We're looking at a healthy economy here in Southeast Michigan as we head into 2017 and the political transition in Washington, D.C." The rise in December is attributed to the production index rising sharply to 62.5 from 58.3, the new orders index rising to 70.8 from 58.3, and the Employment Index holding at 62.5. However, about 27 percent of respondents predict that the economy will become less stable over the next six months, likely affecting the PMI in the new year. The index is a partnership between the school of business and the Institute for Supply Management–Southeast Michigan.