Supply Chain Monitor: Industrial Production May 2024
The industrial production data posted slow growth for the month of May 2024, with the index rising 0.9% over the previous month, which translates to a 0.4% increase in year over year terms.
The industrial production data posted slow growth for the month of May 2024, with the index rising 0.9% over the previous month, which translates to a 0.4% increase in year over year terms.
This month’s data also shows how important it will be to parse the distinction between the “end of the supply chain resolution disinflation” and growing disinflationary pressure from slackening demand for upstream inputs.
In May, Manufacturing PMIs fell while Services PMIs posted surprisingly strong growth.
Aggregate industrial production was unchanged month-over-month in the April data, translating to a decline of 0.4% year over year.
PPI for All Commodities increased by a substantial 0.9% month over month, representing an increase of 0.1% year over year. We may be reaching the very tail end of any remaining deflation from post-pandemic supply chain resolution.