2017 Economic Calendar
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ISM Non-Mfg Index  
Released On 8/3/2017 10:00:00 AM For Jul, 2017
PriorConsensusConsensus RangeActual
Composite Index - Level57.4 56.9 55.0  to 57.6 53.9 

Slowing is the call from ISM's non-manufacturing sample where July results show their least strength since August last year. The composite index slowed by an abrupt 3.5 points in July to 53.9 with new orders down 5.4 points to 55.1 and business activity down 4.9 points to 55.9. Employment is also down, to 53.6 from 55.8 in a reading that does not point to acceleration for tomorrow's employment report. But strength is still the clear message of this report with inventories rising, delivery times slowing and, very importantly, backlog orders still rising.

Yet the July edition is a surprise for this report which is usually very consistent with the headline composite in the high to mid 50s and new orders and business activity in the low 60s. The contrast with this morning's PMI services report is noticeable, one slowing and one accelerating, but the story of the two samples together is positive: moderate growth for the bulk of the economy.

Consensus Outlook
ISM non-manufacturing has been one of the easiest indicators to forecast, coming in consistently at elevated levels. Both new orders and backlog orders in the June report were very strong and will contribute to production and also employment in July. Forecasters see only marginal slowing, to a consensus 56.9 from June's 57.4.

The Institute For Supply Management surveys more than 375 firms from numerous sectors across the United States for its non-manufacturing index. This index covers services, construction, mining, agriculture, forestry, and fishing and hunting. The non-manufacturing composite index has four equally weighted components: business activity (closely related to a production index), new orders, employment, and supplier deliveries (also known as vendor performance). The first three components are seasonally adjusted but the supplier deliveries index does not have statistically significant seasonality and is not adjusted. For the composite index, a reading above 50 percent indicates that the non-manufacturing economy is generally expanding; below 50 percent indicates that it is generally declining. The supplier deliveries component index requires extra explanation. A reading above 50 percent indicates slower deliveries and below 50 percent indicates faster deliveries. However, slower deliveries are a plus for the economy -- indicating demand is up and vendors are not able to fill orders as quickly.  Why Investors Care
The ISM non-manufacturing survey does not compile a composite index like its manufacturing cousin. The business activity index, which is actually akin to the production index in the manufacturing survey, is widely followed as the key figure from this survey.
Data Source: Haver Analytics

2017 Release Schedule
Released On: 1/52/33/34/55/36/57/68/39/610/411/312/5
Release For: DecJanFebMarAprMayJunJulAugSepOctNov

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