Manufacturing Expansion & Job Openings
06/11/2026"Activity in the manufacturing sector accelerated in May, with the ISM Manufacturing index beating expectations and rising to the fastest pace since 2022. This is now the fifth consecutive month of expansion for the index, an encouraging development for an industry that has faced significant challenges over the past three years. While we have remained cautious given last year’s head-fake, it appears that the reshoring of production, AI buildout, and favorable business tax incentives such as bonus depreciation for domestic capex under the “Big Beautiful Bill” are providing meaningful support to the industry, even as many recent economic indicators have pointed toward a weakening economy. Looking at the details, growth remained broad in May, with sixteen out of the eighteen major manufacturing categories reporting expansion, while one reported contraction and one reported no change. The major measures of activity were mostly higher, including the two most important indexes, new orders and production, which rose further into expansion territory at 56.8 and 54.3, respectively." (The ISM Manufacturing Index Increased to 54.0 in May dated June 1, 2026 by Nate Gerze, CFA & Economist, Brian S. Wesbury, Chief Economist, Robert Stein, CFA & Dep. Chief Economist, with First Trust Advisors LP)
"Job openings jumped to their highest level in nearly two years in April, reaching 7.618 million vacancies according to the latest Job Openings and Labor Turnover Survey (JOLTS). ... The job openings-to-workers ratio reflects labor demand by showing the balance between unfilled positions and available workers. A high ratio signals strong demand as employers struggle to hire, while a low ratio indicates weak demand due to a surplus of workers. In April, there were 7.373 million unemployed workers and 7.618 million job openings. This equates to 1.03 jobs available per unemployed worker" (Job Openings Jump to Near 2-Year High in April dated June 2, 2026 by Jennifer Nash, Economic & Market Research Analyst at VettaFi / Advisor Perspectives)
"Every month I review rents and vacancy rates. Please let me repeat some recent history …Back in 2020 and 2021, we saw a surge in household formation, mostly related to roommates splitting up (spending too much time together!). This led to a surge in rents (heavy demand), and rising rents led to a pickup in rental housing starts. There were significant supply chain delays for housing construction, and these unit that were started in 2021, didn’t come to market until the 2023 through 2025 period, and especially in 2024. See: 1.600 million Total Housing Completions in 2025 including Manufactured Homes ...Of course the 2021 surge in household formation was just pulling demand forward, and with more units coming on the market, and less household formation, rents have been soft for the last 3 years. With fewer rental units coming on the market in 2026, it was possible vacancy rates would decline and rents might increase more than the previous 3 years. However, recent immigration policy has likely put downward pressure on rents this year since deportations have increased and legal immigration has decreased. So 2026 will likely be another year of soft rents. First, a survey of data …Apartment List: Asking Rent Growth -1.5% Year-over-year” (Asking Rents Continue to Decline Year-over-year dated June 2, 2026 by Bill McBride of CalculatedRisk)
"Job openings jumped to their highest level in nearly two years in April, reaching 7.618 million vacancies according to the latest Job Openings and Labor Turnover Survey (JOLTS). ... The job openings-to-workers ratio reflects labor demand by showing the balance between unfilled positions and available workers. A high ratio signals strong demand as employers struggle to hire, while a low ratio indicates weak demand due to a surplus of workers. In April, there were 7.373 million unemployed workers and 7.618 million job openings. This equates to 1.03 jobs available per unemployed worker" (Job Openings Jump to Near 2-Year High in April dated June 2, 2026 by Jennifer Nash, Economic & Market Research Analyst at VettaFi / Advisor Perspectives)
"Every month I review rents and vacancy rates. Please let me repeat some recent history …Back in 2020 and 2021, we saw a surge in household formation, mostly related to roommates splitting up (spending too much time together!). This led to a surge in rents (heavy demand), and rising rents led to a pickup in rental housing starts. There were significant supply chain delays for housing construction, and these unit that were started in 2021, didn’t come to market until the 2023 through 2025 period, and especially in 2024. See: 1.600 million Total Housing Completions in 2025 including Manufactured Homes ...Of course the 2021 surge in household formation was just pulling demand forward, and with more units coming on the market, and less household formation, rents have been soft for the last 3 years. With fewer rental units coming on the market in 2026, it was possible vacancy rates would decline and rents might increase more than the previous 3 years. However, recent immigration policy has likely put downward pressure on rents this year since deportations have increased and legal immigration has decreased. So 2026 will likely be another year of soft rents. First, a survey of data …Apartment List: Asking Rent Growth -1.5% Year-over-year” (Asking Rents Continue to Decline Year-over-year dated June 2, 2026 by Bill McBride of CalculatedRisk)