Markit's Manufacturing Sample Shows Solid Strength

Markit's manufacuturing sample reported solid strength in September, at a final 55.6 index which is unchanged from the mid-month flash and is well above the 54.7 of August. The sample posted strong orders in the month with growth, however, centered narrowly in the domestic market as export orders were flat with concerns over tariffs cited.

There's strong evidence of capacity stress as backlogs are building signficantly, at the fastest rate in two years, with input costs rising sharply and component shortages reported. Price pass through to customers is described as "solid". Despite the rise in backlogs, hiring in the month was the slowest in more than a year.