Growing automotive demand and rising future expectations point to a stronger 2025.
While new orders improved, materials prices continue to increase.
With rise in new orders and exports, future business outlook remains steady.
Finishing activity experienced accelerated contraction for the third month in a row, down 1.1 points from June. It is down almost 5 points (4.8) from the April reading before it first started to drop, and has not been this low since May 2020.
Finishing activity accelerated contraction for the second month in a row, down 2.5 points from May. Two months does not a trend make, but it does suggest that some degree of softening is real. Because contraction is common across industry segments reinforces that likelihood.
Finishing activity, which slowed contraction each month of 2024 until leveling off in April, contracted faster in May for the first time since November 2023. Some degree of softening is seen across manufacturing segments, perhaps due to lingering concerns about interest rates and inflation.
After slowing contraction for each of four months straight, Finishing activity leveled off in April. The scenario is similar across manufacturing segments, perhaps reflecting increased conservatism as interest rates and inflation fail to come down.
March’s 47.7 marks a full quarter of slowed monthly contraction.
The slope is softening, but finishing activity has slowed contraction for three months straight. It will take several more months at the rate it is going, but the index is headed toward 50 (flat).
Finishing activity has shown encouraging signs the past two months, the longest ‘stretch’ since starting to contract in April 2023.
Finishing activity posted its first uptick, in this case, a slight slowing of contraction, since August 2023.
Finishing activity has now contracted for eight months in a row, not unlike other manufacturing segments tracked.
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