Record Decline in Production Due to COVID-19
PMI data for April posted a rapid decline across the board for the U.S. manufacturing sector. News of factory closures are becoming more prevalent as the cancelation and postponement of orders rise. April has seen the largest monthly drop in new orders on record. The PMI posted 36.1 in April, down from 48.5 in March. The unprecedented fall in production is widely correlated with factory and business closures across the country due to the implementation of COVID-19 public health measures such as stay-at-home orders and social distancing guidelines. Chris Williamson, Chief Business Economist at IHS Markit, states that consumer-facing businesses are facing the most adversity during these times. The public health measures put in place are linked to businesses spending less as companies continue to slash production and investment.
For the entire release, along with current and historical data, please click the link below. https://www.markiteconomics.com/Public/Home/PressRelease/640893d3143c44a3a9118bb835ca6d22
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