NAM: Manufacturers Should Be Cautiously Optimistic About Economy With a recession so far failing to materialize and inflation showing signs of weakening, the National Association of Manufacturers says that manufacturers may begin to grow less wary about the economy. Recent data suggests that despite continuing risks, the bright spots may win the day.
Employment: The overall employment rate sits at a very low 3.6 percent, defying expectations that the Fed’s inflation-reduction moves might create a surge in unem- ployment. Meanwhile, women in particular are enjoying an employment renaissance, including in manufacturing. Manufacturing had about 3,786,000 female employees in June, meaning that women made up 29.1 percent of the industry’s workforce, according to NAM Chief Economist Chad Moutray. That number is just slightly lower than the 3,788,000 found in May, which was the highest number of female workers in manufacturing since September 2009. Wages: At the same time that overall economic strength is growing, the United States is also seeing positive signs in wage inequality, with average income for the lowest-earn- ing 50 percent of Americans increasing faster than all oth- er population groups except for the ultra-wealthy. Inflation: Inflation has been a significant pain point for manufacturers, but it now seems to be moderating. Ac- cording to the latest Consumer Price Index data, inflation rose 3 percent in June from a year earlier — a big drop from the whopping 9.1 percent annual inflation rate in June 2022. “Real GDP data suggests that while demand and out- put in the manufacturing sector remain challenged, there are other pockets of strength in the larger macroecono- my,” said Moutray. “The Federal Reserve is working to nav- igate a ‘soft landing’ — something that is possible, even as recession risks continue to permeate the conversation.”
Growth: GDP grew at a 2.4 percent annual rate in the second quarter of 2023. This number is notably higher than the 2.0 percent growth that analysts had expected for the quarter.
Dualkote No board crush. Longer roll life.
National
NRK
Roll Kote
Joe Dervin: 508-380-1033 Cameron Wright: 704-904-1667 David Wommack: 214-608-6663 www.nrkrolls.com North Carolina • Arkansas • Delaware
Be sure to stop by to see us at CORREXPO!
18 August 7, 2023
www.boardconvertingnews.com
Made with FlippingBook - Share PDF online