The Inland Empire economy is continuing to grow, according to a report for the month of August which was released by the Institute of Applied Research at Cal State San Bernardino.
“This month’s Inland Empire Purchasing Managers’ Index (PMI) registered 61.0, an increase from last month’s 58.3. The good news is that this is the eighth month that the index has remained above the 50 percent benchmark, indicating that the Inland Empire manufacturing sector and the overall local economy remain comfortably in growth mode," said Dr. Barbara Sirotnik and Lori Aldana, the authors of the report.
They said that the only slight concern in the report is that commodity prices are climbing, with this month's index (71.1) increasing sharply from the previous month's 63.8.
“As noted in previous reports, the Production Index and New Orders Index are the two key components of the PMI. This month the Production Index decreased slightly to 61.7 from last month’s 63.8, whereas the New Orders Index increased from 56.9 to 63.3. Both of these indices have remained above 50 throughout 2017, showing continued growth," the authors said.
"The Employment Index is 60.0 -- a slight improvement when compared with last month’s figure of 56.9. It is especially encouraging that six of the eight companies that added positions indicated that those positions were permanent (as opposed to temporary) positions."
The purchasing managers who were interviewed for the report remained optimistic about the state of the local economy, with 38 percent of them predicting that the area's economy will become stronger in the coming months. Fifty-two percent of purchasing managers believe the local economy will remain unchanged, the authors said.