Exports and imports contracted in April

May 3, 2020 – The Institute of Supply Management’s (ISM) latest survey revealed that April new export orders dropped to 35.3 from 46.6 in March – down 11.3% – the lowest reading since 2008.

Its Import index gained a bit, rising to 42.7 in April, from 42.6 in March. Any number below 50.0 indicates a contraction.

According to Creighton’s April survey of regional manufacturing supply managers, new export orders sunk to 19.4 in April, sown significantly from the 34.7 reading in March. Imports, on the other hand rose a bit to 38.7 in April, up from 32.7 in March.

“The coronavirus had a less significant impact on the manufacturing sector than other areas of the economy more directly tied to the consumer. This is a consumer led recession with manufacturing lagging. As a result, I expect the manufacturing to worsen in next month,“ said Ernie Goss, PhD, director of Creighton University’s Economic Forecasting Group and the Jack A. MacAllister Chair in Regional Economics in the Heider College of Business.

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