U.S. manufacturing contracted for third straight month

A report released by the Institute for Supply Management, a well-known research institution in the United States, showed that the US manufacturing industry contracted for the third consecutive month in October and fell to the lowest point in 26 years. The report showed that the US manufacturing activity index compiled by the Institute for Supply Management was only 38.9 in October, lower than the 43.5 in September and the 41.5 expected by analysts, the lowest since September 1982. An index at or above 50 indicates expansion in the manufacturing sector, and below 50 indicates contraction in the industry. Looking at the breakdown, almost all major indices declined in October. Among them, the production index fell from 40.8 in the previous month to 34.1; the new orders index fell from 38.8 to 32.2; the employment index fell from 41.8 to 34.6; the export index fell from 52.0 to 32.2. 41.0. At the same time, the price index also dropped from 53.5 to 37.0. The report showed that only two manufacturing sectors, apparel and leather products, and computer and electronic products, recorded growth in October, while petroleum and coal products, wood products, furniture and related products, machinery, paper products, primary metal products, and many others. Manufacturing sectors contracted. The Manufacturing Activity Index was compiled by the Institute for Supply Management after surveying the purchasing and supply executives of more than 400 industrial companies in the United States. Analysts believe that the performance of the manufacturing industry in October is a clear sign that the economy has entered a recession. The Institute for Supply Management also said in its report on the same day that the 83-month streak of growth for the overall economy ended in October.