U.S. manufacturers contract in May, ISM says

WASHINGTON (MarketWatch)
U.S. manufacturers contracted in May for the first time since last fall, according to a closely followed index
The Institute for Supply Management index fell to 49.0% last month from 50.7% in April, marking the first contraction since November and the lowest reading since June 2009. Economists surveyed by MarketWatch had expected the index to edge up to 51.0%
Readings under 50 indicate more manufacturers are shrinking instead of growing
The ISM's new-orders gauge dropped to 48.8% from 52.3%
The production index slid to 48.6% from 53.5%
And the employment gauge edged down to 50.1% from 50.2%