The ISM noted that manufacturing grew for the 10th straight month, albeit at a slightly slower pace than was seen in April. The firm's PMI Index dropped from 60.4 to 59.7.
"The rate of growth as indicated by the PMI is driven by continued strength in new orders and production," Norbert Ore, head of the ISM's Manufacturing Business Survey Committee. "Employment continues to grow as manufacturers have added to payrolls for six consecutive months."
Of the 18 industries covered by the index, 16 saw growth in May, including machinery and transportation equipment. One respondent from the former told the ISM that there is no indication that the "ramp-up" seen as of late will pull back.
While manufacturing saw increases, the U.S. Department of Agriculture reported recently that exports in that area of the economy are on pace to hit their second-highest level of all time. The Obama administration has made increasing exports one of its priorities.
