The negative impact of the coronavirus pandemic has started to gradually fade, experts note. This can be seen in the case of the United States hit hard by the epidemic. In May 2020, the US manufacturing sector showed signs of recovery after dismal readings over the last four months.

Analysts suggest that the industry is moving towards stabilization, although it is too early to talk about a rebound in industrial activity. On Monday, June 1, the Institute for Supply Management (ISM) reported that the indicator of national factory activity had risen to 43.1 in May from 41.5 in April, the lowest level over the past 11 years. The ISM's indicator of business activity in the manufacturing sector and its measure of employment increased slightly after many years of lows, while the goods orders index advanced markedly.

According to the ISM, US manufacturers are gradually returning to their previous operating modes as some states lift coronavirus restrictions. However, there are major obstacles to economic growth such as weak export markets, rampant unemployment, and budgetary savings.

Last month, the ISM analysts recorded an increase in such indicators as the new orders index which ticked higher to 31.8 and the inventories index which reached its annual high of 50.4. As for the production indicator, it registered 33.2, up from the April reading of 27.5. At the same time, experts fear that such a high level of inventories may slow down US manufacturing activity.