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Economic Buzz: US ISM manufacturing contracts in march after two months of growth
02-Apr-2025 08:23
Activity in the U.S. manufacturing sector contracted in March after two consecutive months of expansion, according to a report released by the Institute for Supply Management on Tuesday.

The ISM said its manufacturing PMI dipped to 49.0 in March from 50.3 in February, with a reading below 50 indicating contraction.

The modest decrease by the headline index partly reflected an accelerated contraction by new orders, as the new orders index slid to 45.2 in March from 48.6 in February.

The report also showed a downturn by production, with the production index falling to 48.3 in March from 50.7 in February.

The employment index also declined to 44.7 in March from 47.6 in February, suggesting employment in the manufacturing sector decreased for the second consecutive month.

Meanwhile, the ISM said the prices index jumped to 69.4 in March from 62.4 in February, indicating a notable acceleration by the pace of price growth.

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