Business

Purchasing Managers Forecast Houston Economy Will Keep Expanding Near Term

Sales, production, and employment continue to grow, if at a slower pace.

The Houston Purchasing Managers Index registered 57.1% for March. That’s down from 58.7% in February. The index has a range of 0 to 100. Readings over 50 generally indicate production will expand over the coming months.

Ross Harvison is business survey chair with the Institute of Supply Management – Houston.

“We do keep a close eye on the underlying indicators, and three of the big underlying indicators are new orders, production, and employment. All of those showed continued expansion, but we are seeing a relaxed pace.”

The index also reveals the inventory of finished goods fell over the course of the month. Falling inventory means buyers are snapping up finished goods more quickly than manufacturers are turning them out. That’s generally an indicator of faster growth.

 

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Andrew Schneider

Andrew Schneider

Politics and Government Reporter

Andrew heads Houston Public Media’s coverage of national, state, and local elections. He also reports on major policy issues before the Texas Legislature and county and city governments across Greater Houston. Before taking up his current post, Andrew spent five years as Houston Public Media’s business reporter, covering the oil...

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