Posted January 3, 2011
ISM: Manufacturing expanded in December
Economic activity in the manufacturing sector expanded in December for the 17th consecutive month, according to the latest Manufacturing ISM Report On Business.
The PMI registered 57 percent, an increase of 0.4 percentage point when compared to November's reading of 56.6 percent. A reading above 50 percent indicates that the manufacturing economy is generally expanding; below 50 percent indicates that it is generally contracting.
"We saw significant recovery for much of the U.S. manufacturing sector in 2010. The recovery centered on strength in autos, metals, food, machinery, computers and electronics, while those industries tied primarily to housing continue to struggle," said Norbert J. Ore, chair of the Institute for Supply Management Manufacturing Business Survey Committee..
"Additionally, manufacturers that export have benefitted from both global demand and the weaker dollar. December's strong readings in new orders and production, combined with positive comments from the panel, should create momentum as we go into the first quarter of 2011."
