US Manufacturing Industry Shrank For Four Consecutive Months

Xinhua news agency, Washington, December, 2 (reporter Xu Yuan) data released by the American Institute of supply management 2 showed that in November, the US Manufacturing Purchasing Managers Index (PMI) decreased by 0.2 to 48.1 in the four consecutive months.

The PMI of manufacturing industry is 50 and the highest is 50, which indicates that the expansion of manufacturing activity is less than 50, which means that the manufacturing industry is in a state of contraction.

Data show that in November, the US manufacturing new orders index fell 1.9 to 47.2, the stock index fell 3.4 to 45.5, the employment index fell 1.1 to 46.6, and the new export orders index fell 2.5 to 47.9.

Manufacturing accounts for about 11% of the US economy. Manufacturing continued to shrink, exacerbating concerns about the US's fourth quarter economic growth or a sharp slowdown. Data show that in the third quarter, the US economy increased by 2.1% year-on-year, and the growth rate dropped significantly compared with the first quarter.

Analysts believe that the US manufacturing sector has been in a moderate recession and is unlikely to recover in the short term. Ian Shepherdyson, chief economist of the macroeconomic research firm at Pantheon, said that in the next few months, the weakness of manufacturing will drag on employment growth and capital expenditure. Therefore, "the possibility of further easing the monetary policy of the Federal Reserve next January will not be ruled out".