An index measuring prices paid by U.S. manufacturers rose to its highest level since July 2008, according to the latest Manufacturing ISM Report On Business, which is based on data compiled from purchasing and supply executives nationwide.
The Index shows that new orders, production, employment, inventories, prices, exports and imports all grew faster in January then in December.
The ISM Prices Index registered 81.5% in January, 9 percentage points higher than the 72.5% reported in December and the highest reading since July 2008. This is the 19th consecutive month the Prices Index has registered above 50%. While 64% of respondents reported paying higher prices and 1% reported paying lower prices, 35% of supply executives reported paying the same prices as in December.
The 16 industries reporting paying increased prices during the month of January – listed in order – are: Textile Mills; Plastics & Rubber Products; Primary Metals; Food, Beverage & Tobacco Products; Fabricated Metal Products; Nonmetallic Mineral Products; Paper Products; Machinery; Transportation Equipment; Miscellaneous Manufacturing; Chemical Products; Electrical Equipment, Appliances & Components; Apparel, Leather & Allied Products; Wood Products; Printing & Related Support Activities; and Computer & Electronic Products. Furniture & Related Products is the only manufacturing industry reporting paying lower prices on average during January.
