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Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsUS manufacturing extends slump; factory employment lowest in 5 years
The Institute for Supply Management (ISM) said on Friday that its manufacturing PMI dropped to 48.0 last month from 49.0 in June. A PMI reading below 50 indicates contraction in manufacturing, which accounts for 10.2% of the economy.
Economists polled by Reuters had forecast the PMI edging up to 49.5. The weak PMI reading is consistent with economists' expectations for a slowdown in activity in the third quarter as the effects of the import duties become more apparent.
https://www.reuters.com/world/us/us-manufacturing-extends-slump-factory-employment-lowest-5-years-2025-08-01/
BOSSHOG
(44,738 posts)No wonder trump wants there to be no confidence in factual data or reviews of Epstein Island Porn. What a Guy.
multigraincracker
(37,017 posts)like a lot of empty parking lots at all the stores and restaurants.
newdeal2
(4,803 posts)I wonder if his dummy supporters will ever catch on to the con.
KentuckyWoman
(7,374 posts)In a few short months he managed to destroy the gains Biden got for blue collar Trump voters... along with everyone else.
Ol Janx Spirit
(737 posts)...their wives and children that Biden shut down their factory, but thank God that Trump is purging the country of immigrants (they don't actually care if they are legal or illegal) and trans kids who want to play sports.
Old Crank
(6,674 posts)The head of this group. Obviously a woke commie radical far left wing nut case.....
Buddyzbuddy
(2,139 posts)live love laugh
(16,204 posts)DallasNE
(7,964 posts)Oh, the same guy that got it wrong 5 years ago is getting it wrong again now. Funny how that works. Trump is one-dementional so he doesnt consider the cost of imported raw materials with tariffs attached and boom.
Norbert
(7,577 posts)progree
(12,747 posts)The Institute for Supply Management (ISM) said on Tuesday its nonmanufacturing purchasing managers index (PMI) slipped to 50.1 last month from 50.8 in June. Economists polled by Reuters had forecast the services PMI would rise to 51.5. A PMI reading above 50 indicates growth. ((So since the reading was 50.1, just a tiny bit above 50, the borderline between contraction and expansion, that's why the headline says it "flatlined" -Progree))
The ISM survey's new orders measure declined to 50.3 last month from 51.3 in June, with export orders falling back into contraction for the fourth time in five months.
The survey's measure of services employment fell to 46.4, the lowest level since March, from 47.2 in June. It has contracted in four of the last five months,
Price pressures, meanwhile, continue to mount. The survey's prices paid index rose to 69.9, the highest level since October 2022, from 67.5 in June ((so up 2.4 percentage points in just a month -Progree))
With tariff rates ranging from 10% to 41% on imports to the U.S. set to kick in on August 7, the Budget Lab at Yale now estimates the average overall U.S. tariff rate has shot up to 18.3%, the highest since 1934, from between 2% and 3% before Trump returned to the White House in January..
Tariff = tax on imports paid by the importer and eventually passed on to the U.S. consumer.
hildegaard28
(792 posts)Jobs have contracted for 5 months, while Trump has been back in office for 6. They say correlation doesnt prove causation, but in this case I think it does.
misanthrope
(9,380 posts)The outlook will magically improve.
BoRaGard
(7,591 posts)sinkingfeeling
(57,244 posts)Johnny2X2X
(23,693 posts)It's anecdotal, but I cannot remember a few month period where more businesses have announced they are closing their doors. It seems like there's a new announcement every couple days right now.
Electronics manufacturers who cited tariffs. A Grandfather clock company that employed hundreds and had existed for over a hundred years. Auto parts. Machine chops. Bars. Restaurants. Breweries.
And with every layoff, a post on my town's Reddit or Nextdoor page and debate. The CEOs and owners are citing tariffs and the costs and uncertainty associated with them, some are saying the economy is faltering. And then it's people from the left correctly pointing out what and who is responsible, and then people from the right saying, "those businesses would have closed anyway." All businesses go through ups and downs, but if you're in a little bit of a down and all the sudden out of the blue your costs for materials spike, it can absolutely sink you. That's what were seeing, a lot of companies who were having down years or maybe who were invested in next year are closing their doors because they simply couldn't withstand the shock of tariffs. And the restaurants and breweries seem to cite that the demand just isn't there all the sudden, people aren't spending money. People are terrified as they watch their country descend into fascism, people are mitigating their risk by trying to save.
I don't know where the economy is heading for sure, but the numbers are showing up bad and this feels dark, like worse than the 2008 Bush meltdown bad. I am darned near religious about keeping politics and finances separate, people missed out on massive stock market gains under Trump before because they let politics influence their money decisions, but this feels like a deep deep recession is building.