The ISM Prices Index registered 37% in June 2012, which is a decrease of 10.5 percentage points compared to the May 2012 reading of 47.5%. This is the second consecutive month the index has reflected a decrease in the price of raw materials since December 2011, and reflects a combined two month decrease of 24 percentage points in the Prices Index. This is also the lowest reading since April 2009, when the index registered 32%.
In June 2012, 7% of respondents reported paying higher prices, 33% reported paying lower prices and 60% of supply executives reported paying the same prices as in May 2012. A Prices Index above 49.4 percent, over time, is generally consistent with an increase in the Bureau of Labor Statistics Index of Manufacturers Prices.
Of the 18 manufacturing industries, three reported paying increased prices during the month of June 2102 are Furniture & Related Products; Printing & Related Support Activities; and Primary Metals.
The 11 industries reporting paying lower prices during June 2012 listed in order are: Petroleum & Coal Products; Plastics & Rubber Products; Food, Beverage & Tobacco Products; Fabricated Metal Products; Electrical Equipment, Appliances & Components; Chemical Products; Machinery; Paper Products; Transportation Equipment; Miscellaneous Manufacturing and Computer & Electronic Products.
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Source - Institute for Supply Management