US manufacturing rebounds, tariffs could derail tentative recovery

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US manufacturing rebounds, tariffs could derail tentative recovery - Economic Times

Quick Summary:

A survey from the Institute for Supply Management (ISM) released on Monday, which was conducted before the escalation in trade tensions, showed raw-material inventories at factories were already declining last month, lifting prices for the fourth straight month.

"Tariffs represent a negative supply shock, which hurts production and raises prices, a much smaller scale of what we experienced in the pandemic," said Kathy Bostjancic, chief economist at Nationwide.

Their counterparts in the computer and electronic products industry said "as the U.S.administration transfers, we will continue to monitor the impact of tariffs on materials used for manufacturing".