Prior was 48.2Prices paid 58.5 vs 57.0 expected (58.5 prior)Employment 44.9 vs 44.0 priorNew orders 47.7 vs 47.4 prior
A miserable year for US manufacturing ends with some extra disappointment. This is the lowest reading since November 2024.
The new orders reading was a slight improvement but still deeply in contractionary territory. The promises of tariffs aren’t paying off as companies are reluctant to invest in long-term production given the uncertainty of the legality and staying power of tariffs. Moreover, consumers are unwilling to buy expensive US-built consumer products rather than foreign imports.
On the macro side, the hangover from the post-covid spending spree continues and lower US rates don’t appear to be offering a boost yet. That could change as time goes on but a lot will need to go right to make US manufacturing work again.
This article was written by Adam Button at investinglive.com.