CNNMONEY.COM: MANUFACTURING SLOWS IN FEBRUARY
CNNMoney.com’s Chavon Sutton reports manufacturing did expand again in February, but at a slower rate. The suggested culprit? The weather!
CNNMoney.com Excerpt:
Manufacturing activity expanded in February for the seventh straight month, but at a slower pace, a purchasing managers’ group said Monday.
The Tempe, Ariz.-based Institute for Supply Management’s U.S. manufacturing index slipped to 56.5 from 58.4 in January.
Economists expected the index to fall slightly to 58.0, according to a consensus compiled by Briefing.com.
“It’s obviously a weak report, but it follows a strong January report, which was the strongest we’ve seen in six years,” said David Wyss, chief economist for Standard & Poor’s. “We think a lot of this is weather-related.”
In general, an index reading above 50.0 indicates manufacturing growth, while anything below 50 signals contraction. A reading above 42.0 generally implies expansion in the overall economy, making February the tenth consecutive month of economic growth.