Washington (awp / dpa) – Growth in manufacturing activity in the Chicago area was slowed in November by falling new orders, and the index measuring it fell to its lowest level since February, according to the ISM survey released Tuesday.
The index fell to 61.8 points in November, against 68.4 points in October, according to this survey of purchasing managers by the ISM federation. This fall is much stronger than expected, since analysts expected more moderate growth in November than in October, but only saw the index retreat to 67 points.
Activity grows when the index is above 50 points, contracts when it is below. Thus, an index above 50 points, but lower compared to the previous month, means that the growth of activity has slowed. Manufacturers continue to boost their stocks, the level of which is even at its highest for three years. Production is also speeding up.
On the other hand, the other components of the index fell, and in particular the order books. Companies, on the other hand, still have difficulty finding labor.
Deliveries were slower. As for prices, they remain very high, but are however down a bit compared to previous months. And nearly 65% of officials surveyed said they had not noticed any improvement in supply chain challenges.
However, Joe Biden and the heads of heavyweights of distribution in the United States like the giant Walmart, who were received at the White House to take stock on this subject, had indicated Monday that the situation began to improve.
Global supply difficulties are causing delays and shortages, which should take months to resolve, especially as demand is strong from American consumers. And in the United States too, manpower is lacking in production, logistics, delivery, etc.
Bottlenecks throughout the supply chain are driving up prices, and inflation in the United States is now at its highest for 31 years. In October, prices rose 6.2% compared to October 2020, after 5.4% in September, according to the CPI index.
afp / vj
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