U.S. Manufacturing Activity Hits Lowest Level Since Presidential Election -- Markit

By Ali StrattonFeaturesDow Jones Newswires

Manufacturing activity across the U.S. sank to an eight-month low in May due to subdued business growth and job creation, according to a report Thursday.

The U.S. manufacturing purchasing managers' index, compiled by data provider IHS Markit, fractionally declined to 52.7 in May, from its final reading of 52.8 in April.

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While the rate of manufacturing production decreased, manufacturing output continued to expand for the 12th consecutive month. Readings above 50 represent expansion, while figures below that level reflect contraction.

The index also showed that input price inflation fell sharply from April's two-and-a-half year peak.

Chris Williamson, Markit's chief economist, attributed May's marginal growth in manufacturing to sluggish sales, which he said prompted firms to scale back hiring.

"Exports sales remained especially lackluster, hampered in part by the relatively strong dollar," Mr. Williamson said.

Write to Ali Stratton at alexandra.stratton@dowjones.com

(END) Dow Jones Newswires

June 01, 2017 10:50 ET (14:50 GMT)