US factory activity soars to record in early-June, says IHS Markit

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US factory activity soars to record in early-June, says IHS Markit

On Wednesday, IHS Markit, the London-based Anglo-American financial information provider, said in a statement that its index for US national manufacturing activity had jumped to a record peak between June 10 and June 22, however, the Markit statement had also underscored an intensifying ruckus over securing raw materials alongside qualified workers that eventually converge into a sky-scrapping US inflation that blew past a 5.0 per cent mark last month, well above the US Fed’s target of 2.0 per cent.

In point of fact, latest IHS Markit data underpinning an intercontinental dive in the US factory activity came forth as a majority of American Consumers had shifted to goods from services following a robust reopening of the economy, leading to a torrential high-tide in domestic demands which the US manufacturers were reportedly struggling to grapple with.

US manufacturing activity hits record in June

According to data firm IHS Markit’s survey report released earlier on Wednesday, the British-American financial intel provider’s index for flash US manufacturing PMI had climbed to an all-time high of 62.6 in June following a reading of 61.5 scored a month earlier.

With the US manufacturing accounting for roughly 11.9 per cent of entire economic activities in the United States, latest upbeat factory activity data had fleshed up analysts’ optimism of a double-digit growth in gross outputs over second quarter of the year.

Nevertheless, although, the US factory activity had ramped up in June in context of a rapid rise in domestic demands, overall US economic activity had been met with a broad-based decline as of mid-June, as IHS Markit’s index for US flash composite PMI that tracks both services and manufacturing activities, tumbled to 63.9 in June compared to a final reading of 68.7 in May.