Midwest manufacturing picks up pace amid slower growth nationally

Missouri, Kansas and the rest of the Midwest saw an increase in manufacturing activity last month, according to a survey of corporate purchasing managers across nine states.

Creighton University generates an economic index from the survey results, and it showed growth in manufacturing quickened in the region. The index rose to 54.4 in December from November’s 51.3 reading. Any reading above 50 shows growth.

The Institute for Supply Management’s national survey, which was also released Friday, produced an index reading that also showed expansion last month. At 55.5, it showed slower growth than in November, when its index stood at 58.7.

Both sets of surveys registered the effects of falling oil and commodity prices.

The nine-state Mid-America Business Conditions index reflected pressures on agriculture- and energy-related companies from a 26 percent drop in grain prices and 13 percent drop in fuel prices over six months, Creighton economist Ernie Goss wrote in an announcement.

“At the same time, these price declines have produced positive impacts for firms more closely tied to the consumer,” Goss wrote.

A separate index for Missouri rose to 55.7 from 54.9 in November. A Kansas index rose to 62.8 from 62.2.

This story was originally published January 2, 2015 at 11:15 AM with the headline "Midwest manufacturing picks up pace amid slower growth nationally."