Industrial Activity - June 2010
The Southeast Purchasing Managers Index (PMI) expanded at a slightly slower pace in May, decreasing from 63.3 in April to 62.7 in May.
- The Southeast PMI report indicated further expansion of the manufacturing sector in May, though growth was slower than in April.
Note: A PMI over 50 indicates expanding manufacturing activity, below 50, contracting activity.
The truck tonnage index for March registered its fourth consecutive month of positive year-to-year comparison.
- The American Trucking Associations (ATA) index for April jumped to 110.2, an 8 percent increase from a year earlier.
- Economists for the ATA noted that tonnage levels have been boosted by robust manufacturing output and stronger retail sales.
The value of international shipments passing though District ports in early 2010 continued to decline but at a slower pace than in late 2009.
- Southeast import shipments fell 14.7 percent from year-earlier levels while export shipments dropped 4.8 percent.
- Trade declined at all regional ports, with Mobile, New Orleans, and Tampa posting the biggest declines.
Gulf Coast crude oil inventories have declined since early April, as seasonal fuel consumption helps draw down stocks, according to the U.S. Energy Information Administration (EIA).
- After spending several months toward the top of their average range, Gulf Coast crude oil inventories have declined 4 percent since early April, bringing stocks closer to the middle of their average range for this time of year.
According to the EIA, crude oil production increased in the Sixth District.
- District states produced an average of 1.5 million barrels of crude oil per day since the beginning of 2010, up 7.1 percent from the same period in 2009.
- According to the EIA's short-term outlook, national crude oil production averaged 5.32 million barrels per day in 2009 and is expected to increase by 74,000 barrels per day in 2010.
- The EIA estimates that the moratorium on deepwater drilling in the Gulf of Mexico will result in a loss of crude oil production of about 26,000 barrels per day in 2010 and 70,000 barrels per day in 2011, on average.
District vehicle production advanced strongly from low levels in 2009.
- When compared with year-earlier levels, District vehicle production through June 19 improved for all six automakers with assembly facilities in the Southeast.
- District production jumped 83 percent from last year's levels, a faster improvement than was seen nationally.
- Hyundai-Kia and Nissan account for almost two-thirds of the District's total vehicle production for 2010.