U.S. manufacturing activity expands, labor crisis persists

02.09.2021 - Petr Mazaylo
U.S. manufacturing activity expands, labor crisis persists

The United States’ manufacturing activity recorded an unforeseen expansion in August driven by strong order growth. However, a measure of factory employment declined to a nine-month low due to a scarcity on workers.

The Institute for Supply Management (ISM) index on national factory activity jumped to 59.9 from July’s 59.5. This contributed 11.9% to the U.S. gross domestic product and was better than economists’ forecast drop to 58.6.

Manufacturing was showing resilience due to vaccination efforts against the COVID-19. Computer and electronic goods manufacturers said they were able to manage a shortage in global semiconductor that hit the supply chain.

Meanwhile, a measure of factory employment slumped to its lowest level since November in August.

The ADP National Employment Report showed private payrolls jumped by 374,000 jobs after rising 326,000 in July. Economists predicted it to increase by 613,000 jobs.

The pandemic has shifted labor market dynamics, resulting in worker shortages despite a record of 8.7 million individuals without jobs. The labor crisis is projected to alleviate in September.

Risk disclaimer "PROMETHEUS LTD – Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Republic of the Marshall Islands MH96960 is a financial services institution outside the European Union Area, which is subject to the supervision of the IFMRRC Certificate 0395 AA V0155 Trading in Forex/ CFDs and Other Derivatives is highly speculative and carries a high level of risk. It is possible to lose all your capital. 70% of trading deals can be unprofitable. These products may not be suitable for everyone and you should ensure that you understand the risks involved. Seek independent advice if necessary. Speculate only with funds that you can afford to lose. This Website may contain information in particular regarding financial services and products that could be regarded b a E.U. supervisory authority as an offer of financial services targeted in Europe. ESMA intervention measures do not apply to customers of PROMETHEUS LTD and it is your responsibility to choose a company which is most suitable for your trading needs. By clicking continue you confirm that you have read, understood and agree to the risk disclosures, terms of service, cash policies, privacy policies and this notice and that you are visiting this website on your own initiative, without any encouragement whatsoever from umarkets.net or PROMETHEUS LTD." Cookies notification: We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we assume that you are happy with it. Read more. Continue
×

Help with deposit?