The Purchasing Managers Index (PMI) for Puerto Rico’s manufacturing sector edged up to 46.0 in August but remained below the threshold level for the fifth consecutive month.
A reading below the threshold level suggests a contraction in the manufacturing sector with respect to the previous month. The index has been at or above the threshold level in 66 of the 112 months since the survey was first done in 2010.
For any given month in comparison to the previous month, participants are asked to answer whether the business condition of the establishment improved, remained the same, or deteriorated.
The new orders, production and employment sub‐indexes increased vs. the previous month, according to the findings of the collaborative research project between the Puerto Rico Manufacturers Association and the Puerto Rico Institute of Statistics.
However, just the production and suppliers deliveries sub‐indexes were at or above the threshold level of 50, the report showed.
In August, new orders grew to 42.5 but remained below the threshold level for the fourth consecutive month. The production index took off to the threshold level of 50.0 in August, after two consecutive months below it.
The employment sub-index edged up to 42.5 but remained below the threshold level for the fifth consecutive month.
The supplier deliveries ticked down to 52.5 in August, remaining at or above the threshold level for the fifth consecutive month.
Meanwhile, the own inventories sub-index fell below the threshold level to 42.5, after having been at or above the threshold level for two consecutive months, according to the report.