Free Trial

Soft ISM Prices Paid Of Note Within Manufacturing Report

  • The ISM manufacturing index was softer than expected in June at 46.0 (cons 47.2) after 46.9.
  • The prices paid series was notable behind the miss, falling to 41.8 (cons 44.0) from 44.2 after what was a particularly heavy -9pt decline back in May.
  • It remains above the post-pandemic low of 39.4 from Dec’22 and compares with the 35.3 Apr’20 low, but is notable with the renewed push lower of services in recent months, which have been following the sizeable mfg declines seen in 2H22 with a lag – chart below.
  • Friday's MNI Chicago PMI provided a useful indicator here (and also for employment sub-component - separate bullet to come) as it fell by -7.4pts to 53.5, the lowest since April 2020. Only 29.2% of firms reported higher prices paid in June, the lowest since October 2020 and substantially lower than the peak of 86.1% experienced in June 2021.

To read the full story



MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.