The Institute for Supply Management, a trade group of purchasing executives, released on Jan. 2 the latest data on its manufacturing index.
A greater-than-expected decline to 32.4 in December is key evidence of further economic pain to come in the months ahead. Analysts had expected a drop to approximately 35.5 from the November figure of 36.2. Any value below 50 indicates manufacturing contraction.
The gloomy figures come amid rising unemployment, declining access to credit and reports of the worst holiday shopping season in decades.
Although falling prices for goods amid slackened demand may appear to have short-term benefits for the working class, indications of continued economic decline will translate into further loss of jobs and other attacks against the working class as the capitalists seek to cut their losses.
