Factory activity in Georgia took a big dip in June, furthering concerns that the worldwide economic slowdown is having a local impact.
The Georgia Purchasing Managers Index, which provides a snapshot of activity in the state's manufacturing sector, declined last month as new orders and production continued to slip.
The PMI fell to 55, down 6.9 points from May, according to the monthly report issued by the Econometric Center at Kennesaw State University's Coles College of Business.
A PMI of more than 50 indicates that the manufacturing sector is expanding. A PMI of less than 50 indicates that it is contracting.
But while the Georgia index is still above 50, the June decline comes after a smaller decrease in May. The index is below 60 for the first time in five months.
Don Sabbarese, director of the Econometric Center, said that, "while the Georgia PMI is still above the national figure, Georgia's decline of 8.8 points over the past two months is significant."
New orders for June were 9.5 points below their six-month average for the PMI. Production was 5.8 points below the average.
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