Thursday, December 3, 2009

ISM Non-manufacturing - 10:00

Full report here - late, link didn't work, and this did move the market. November 2009 Non-Manufacturing ISM Report On Business® NMI (Non-Manufacturing Index) at 48.7% DO NOT CONFUSE THIS NATIONAL REPORT with the various regional purchasing reports released across the country. The national report's information reflects the entire United States, while the regional reports contain primarily regional data from their local vicinities. Also, the information in the regional reports is not used in calculating the results of the national report. The information compiled in this report is for the month of November 2009. Business Activity Index at 49.6% New Orders Index at 55.1% Employment Index at 41.6% (Tempe, Arizona) — Economic activity in the non-manufacturing sector contracted in November after two consecutive months of expansion, say the nation's purchasing and supply executives in the latest Non-Manufacturing ISM Report On Business®. The report was issued today by Anthony Nieves, C.P.M., CFPM, chair of the Institute for Supply Management™ Non-Manufacturing Business Survey Committee; and senior vice president — supply management for Hilton Worldwide. "The NMI (Non-Manufacturing Index) registered 48.7 percent in November, 1.9 percentage points lower than the 50.6 percent registered in October, indicating contraction in the non-manufacturing sector after two consecutive months of expansion. The Non-Manufacturing Business Activity Index decreased 5.6 percentage points to 49.6 percent, reflecting contraction after three consecutive months of growth. The New Orders Index decreased 0.5 percentage point to 55.1 percent, and the Employment Index increased 0.5 percentage point to 41.6 percent. The Prices Index increased 4.8 percentage points to 57.8 percent in November, indicating an increase in prices paid from October. According to the NMI, six non-manufacturing industries reported growth in November. Respondents' comments remain cautious about business conditions and reflect concern over the length of time for economic recovery." INDUSTRY PERFORMANCE (Based on the NMI) The six industries reporting growth in November based on the NMI composite index — listed in order — are: Other Services; Health Care & Social Assistance; Construction; Finance & Insurance; Retail Trade; and Information. The 11 industries reporting contraction in November — listed in order — are: Real Estate, Rental & Leasing; Management of Companies & Support Services; Mining; Arts, Entertainment & Recreation; Public Administration; Accommodation & Food Services; Educational Services; Wholesale Trade; Transportation & Warehousing; Professional, Scientific & Technical Services; and Utilities. WHAT RESPONDENTS ARE SAYING ... * "Capital markets remain very tight; lenders are not releasing funds for development projects, limiting expansion." (Accommodation & Food Services) * "Fourth quarter still looking grim, but potential upturn for Q1 2010." (Professional, Scientific & Technical Services) * "No one trusts that the recovery is real. Seems everything and everyone is in a holding pattern." (Public Administration) * "Business is still flat." (Wholesale Trade) * "U.S. business remains better than 2007 levels, although it's been through personnel and cost reductions that we are now profitable. Business continues to be about 8 percent below 2008 levels." (Real Estate, Rental & Leasing) * Non-Manufacturing ISM Report On Business® data is seasonally adjusted for Business Activity, New Orders, Prices and Employment. Manufacturing ISM Report On Business® data is seasonally adjusted for New Orders, Production, Employment, Supplier Deliveries and Inventories. ** Number of months moving in current direction. COMMODITIES REPORTED UP / DOWN IN PRICE, and IN SHORT SUPPLY Commodities Up in Price Beef; Cheese (4); Diesel Fuel; #1 Diesel Fuel; #2 Diesel Fuel; Fuel (2); Gasoline; Laboratory Equipment; Masks [for TB/H1N1 use] (2); and Pharmacy Supplies. Commodities Down in Price Alloys (2); and Carbon Pipe. Commodities in Short Supply Masks [for TB/H1N1 use] (2) is the only commodity reported in short supply. Note: The number of consecutive months the commodity is listed is indicated after each item.

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