Manufacturing Output

Channel News Asia  Nov 24  Comment 
SINGAPORE: Singapore's manufacturing output for October rose 14.6 per cent compared with a year ago – the same pace of growth as September – on another strong showing from the electronics sector. On a seasonally adjusted month-on-month...
Channel News Asia  Sep 26  Comment 
SINGAPORE: Singapore's manufacturing output was up by 19.1 per cent in August compared to a year ago – the 13th straight month of growth. On a month-on-month basis, manufacturing output increased 0.6 per cent, according to figures released by...
BBC News  Sep 8  Comment 
Output grew at the fastest pace this year during the month, but the trade deficit remained little changed.
Channel News Asia  Aug 25  Comment 
The electronics cluster’s output increased 49.1 per cent year-on-year.
Channel News Asia  Jul 26  Comment 
SINGAPORE: Singapore's manufacturing output rose 13.1 per cent year-on-year in June, the 11th straight month of growth, according to data released by the Singapore Economic Development Board (EDB) on Wednesday (Jul 26).  Excluding the more...
MarketWatch  Jul 24  Comment 
A reading of U.S. manufacturing output reached a four-month high in July, according to data released Monday.
BBC News  Jul 7  Comment 
Disappointing manufacturing, trade and construction data indicate the economy is failing to gain momentum.
Channel News Asia  Jun 23  Comment 
SINGAPORE: The manufacturing sector in Singapore extended its winning streak in May as output rose for the 10th straight month, although the pace of growth continued to ease. Industrial output increased 5 per cent last month on a year-on-year...


Manufacturing output refers to the total inflation-adjusted value of output produced by manufacturers.[1] Announcements of manufacturing output include month-over month and year-over-year changes in manufacturing production. The manufacturing sector accounts for almost 80% of total Industrial Production and tends to have a big impact on market behavior. It is a leading indicator of economic health as manufacturing output reacts quickly to ups and downs in the business cycle.

Measures of Manufacturing Output

ISM Manufacturing Composite Index

The ISM Manufacturing Composite Index is released monthly by the Institute of Supply Management which tracks the amount of manufacturing activities in the previous month. Data for the index comes from a monthly survey done by purchasing managers from approximately 300 manufacturing firms of 21 industries in 50 states. Queries in the survey includes general direction of production, new orders, order backlogs, manufacturers' inventories, customers' inventories, employment, supplier deliveries, exports, imports, and prices. The five equally weighted components that form the composite consist of new orders, production, employment, supplier deliveries, and the manufacturer's inventories. The index value ranges between 0 and 100. Whenever the index value falls below 50, it tends to indicate an economic recession, especially when the trend continues for several months consecutively. A value substantially above 50 most likely means a time of economic growth.[2]

Why is it important?

Manufacturing Output reacts quickly to ups and downs in the business cycle, and is correlated with consumer conditions like unemployment rates and earnings. The ISM manufacturing index gives a detailed picture of the manufacturing sector such as the level of activities and the general direction of the manufacturing industry. Since the manufacturing industry contributes to majority of the cyclical variability in the economy, the index has a big influence on the markets. Some of the ISM sub-indices provide insights into commodity prices and signals for potential inflation developing. If the index increases too rapidly, this may lead to excessive consumption and inflation pressure. Hence, the Federal Reserve monitors this report closely as it helps to determine the direction of interest rates when inflation signals are flashing in the data provided. Therefore, the bond market is also highly sensitive to this report.[3]


  1. ForexFactory: Calendar
  2. Econoday: 2010 Economic Calendar
  3. Econoday: 2010 Eonomic Calendar
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