May ISM Manufacturing Preview
The May ISM Manufacturing Index is expected at 48.4 from 48.5 in April. The May ISM Prices Paid Index is expected at 83.3 from 84.5 in April.
The April New Orders Index was 46.5, the Shipments Index was 49.1, the Employment Index was 45.4, the Deliveries Index was 54 and the Inventories Index was 48.1.
The usual suspects, including deteriorating consumer sentiment, market uncertainty and price pressures should continue to weigh on the ISM Manufacturing Index going forward. The final May UofM Consumer Confidence Index improved to 59.8 from 59.5 in the preliminary data, which was the lowest reading since 1980.
The April ISM Prices Paid Index is expected to show a marginal decrease but will still remain elevated as pipeline price pressures begin to manifest. Price indices from the other major manufacturing surveys suggest upside risks to the ISM prices index — the May Empire State Prices Paid Index reached an all-time high at 69.6; the May Philly FED Prices Paid Index grew to 53.8 from 51.6 in April; and the May Chicago PMI Prices Paid Index came in at 87.5 from 82.9 prior.
Related data:
• May Empire FED Index: -3.2 vs. 0.6 prior
• May Philly FED Index: -15.6 vs. -24.9 prior
• May Chicago PMI: 49.1 vs. 48.3 prior
• May NAPM Milwaukee: 45 vs. 48 prior
• April Durable Goods Orders down 0.5%
• April Industrial Production down 0.7%