When it comes to U.S. manufacturing, there’s bad news in store for the Biden administration. According to the Institute for Supply Management, manufacturing activity dipped to its lowest level in nearly three years in March. The institute’s Purchasing Managers’ Index (PMI) fell from 47.7% in February to 46.3% in March. The New Orders Index had an even sharper fall as it dropped from 47% to 44.3%.
For the first time since 2009, every sub-component of the PMI was below 50%. A reading below 50% generally indicates that manufacturing is contracting.
While it may not be a good sign for economic growth, the numbers may be a sign of relief for the Federal Reserve. The Fed has raised its benchmark lending rate nine times in the past 13 months in an effort to cool high inflation. This may be a sign that those hikes are starting to work.
Straight Arrow News aims to identify when stories are being underreported on either side of the political aisle and media landscape. This story is a Media Miss for left-leaning outlets, with most sources reporting it being either right-leaning or center-oriented outlets, according to Ground.News.
