Is US Manufacturing's Downfall A Sign Of Things To Come?
US manufacturing hit an unexpected bump in the road last month, and if things don’t sort themselves out quickly it will be on American consumers to come to the rescue.
The Institute for Supply Management’s index experienced its largest drop in over two years in August, signaling contraction in the sector for the first time in six months, Bloomberg reports. Readings on the index over 50 indicate growth, yet 11 of the 18 industries surveyed reported weakening fundamentals.
While this isn’t a good sign, it’s not time to panic yet—data over the next few months will confirm whether this pullback was merely an anomaly or an early warning sign. [Bloomberg]