Gardner Business Index: Precision Machining September 2023

The Gardner Business Index: Precision Machining closed September with an index of 44.7, down 2.4 points from August’s recent high of 47.1.

GBI: Precision Machining data suggests that some components contributed to the decline more than others.

• Production and new orders continued to contract at a slightly accelerated pace, each dropping around one point in September.
• Supplier deliveries remained stable in September, lengthening at a slow and steady pace since July 2023.
• Newly contracting component, employment, contracted again in September, posting a slightly accelerated rate compared to August. 
• Backlog maintained position as the component that contracted the most, doing so at an accelerated rate each of the past five months.
• Exports have contracted about a year longer, but to a lesser degree, than backlog; September’s rate was consistent with the three months prior.  
• The sentiment question (not part of the GBI index) continued to indicate more shops believe business will be up in the next 12 months than believe it will be down.