IE Business Daily Business news for the Inland Empire.
The Inland Empire’s manufacturing sector is back on solid ground.
The two-county region’s purchasing managers index was 59.2 in March, a major improvement from the 50.8 recorded in February, the Institute of Applied Research and Policy Analysis at Cal State San Bernardino reported today.
More important, March was the third consecutive month that the index was 50 or better after dipping below that number in December. That means Inland manufacturing is growing again, at least for the next 30 days.
The index’s two major components, production, and new orders, both made quantum leaps between the second and third month of the year. Production went from 50 to 65.4, while new orders jumped from 48 to 65.4.
“This is the first month that the index has increased above the baseline 50 in the past several months, indicating that new orders may be improving,” the report states.
Employment was also positive: 59.6 in March compared with 58 in February while the Inland commodity price index went from 70 to 61.5 another sign that inflation is easing, at least for the moment.
With all of that good news, the region’s purchasing managers were still pessimistic – their usual outlook – about the Inland economy’s immediate future.
Only four percent said they expect the local economy to improve during the next three months, while 46 percent said they expect it to get weaker and 50 percent predicted it will stay the same, the report stated.
