Economy experiencing third month of continued growth according to Southeast Michigan Purchasing Managers Index
DETROIT— The Southeast Michigan Purchasing Managers Index (PMI) for September is 59.9, reflecting a slight dip from 60.2 in August, but still providing strong evidence of an expanding economy with a three month average of 57.7. A PMI value above 50 generally suggests economic growth.
“September marks the third consecutive month of increased economic activity throughout Southeast Michigan,” said Nitin Paranjpe, a supply chain faculty member at Wayne State’s School of Business Administration who interpreted this month’s results. “Contributing to the drop in September’s PMI was a reduction in production by about four points to 64.6 from 68.5 in August, and employment which fell about five points to 54.2 for the month,” Paranjpe said.
The six-month outlook, according to respondents, is generally positive with 75 percent expecting the economy to remain the same or become more stable. However, continuing concerns among them include the impact of the Affordable Care Act, the federal debt ceiling issue and concerns about inflation.
Prices for nickel, steel, stainless steel, lumber, energy and air fares were up. Some resin grades, petroleum and natural gas were trending down or flat.
The Southeast Michigan Purchasing Managers Index (PMI) is a research partnership between Wayne State University’s School of Business Administration and the Institute for Supply Management – Southeast Michigan.