Houston Economy Accelerated In May
by: Andrew Schneider, June 11, 2012 9:06:00 pm
The Houston Purchasing Managers Index rose to 59.6 in May — up half a point from April.
Mike Valant is survey chairman with the Institute of Supply Management – Houston.
“The really good part is that both finished goods inventory and materials inventory are both reducing, which means they’re consuming faster than they’re building, and production has been increased. So that’s three positive signs that’s been kind of slow here lately.”
Valant says Houston sales also enjoyed a slight pickup in May compared to April. Employment numbers dropped slightly from the previous month but remained strong.
The PMI indicates likely shifts in production three or four months in advance. It has a range of 0 to 100, with readings over 50 pointing to near term production gains.
ISM - HOUSTON BUSINESS REPORT
graph provided by ISM - Houston