by: Andrew Schneider, June 13, 2011 6:06:00 am
The Houston Purchasing Managers Index surveys industries across the city, hitting every sector from energy to food and beverages. The aim is to gauge which direction production will be going in three to four months down the line. A reading over 50 means it’s likely to grow.
The latest PMI registers at sixty-one-point four, the first time the index has topped sixty since June 2008. Mike Valant is with the Institute of Supply Management — Houston, which conducts the survey.
“Sales came up, and purchases were coming up considerably. The production, you know, stayed up. Employment stayed constant. Ninety-five percent of my respondents stated that employment is the same or higher than it was last month.”
Valant says the most welcome surprise is on the inflation front.
“Prices apparently have started to stabilize. In fact, it was down 13 points from the previous month.”
The Houston electronics sector is continuing to report supply problems related to Japan’s March earthquake and tsunami. Even here, though, Valant says the outlook is improving.