ISM factory index weakens to 49.6% in August

WASHINGTON (MarketWatch)
Activity for the nation's manufacturers showed contraction for the third straight month in August, the Institute for Supply Management reported Tuesday
The ISM index fell slightly to 49.6% in August from 49.8% in July
This was weaker than expected
The consensus forecast of estimates collected by MarketWatch was for the index to rise to 50.2%
Readings below 50 indicate contraction
This is the first three months of contraction since the summer of 2009, when the recession was ending
The new-orders index slipped to 47.1% in August from 48.0% in the prior month
The employment index slipped to 51.6% in August from 52.0% in July
Production fell 4.1points to 47.2% while prices surged 14.5 points to 54.0%