US ISM manufacturing index jumps to 55.5 in October
The US ISM manufacturing index rose to 55.5 in October from 54.5, beating the 54.6 consensus, as production climbed to 59.0 and prices paid eased to 75.2.
The US ISM manufacturing index rose to 55.5 in October from 54.5 the previous month, beating analysts' expectations of 54.6.
The production index climbed to 59.0, while the new orders index edged up to 55.5, pointing to improved demand for American factories.
By contrast, the prices paid index eased to 75.2, which may ease some inflationary pressures linked to production inputs.
The figures are read as a sign that US industrial activity remains in expansion territory, with improvement in production and orders and easing price pressures.
What do these terms mean?
ISM index: a monthly survey by the US Institute for Supply Management that measures manufacturing activity, with a reading above 50 indicating expansion.
New orders: the volume of orders factories receive from customers, used as a gauge of future production.
Industrial production: the volume of goods factories produce in a given period.
Prices paid: an index measuring changes in the prices factories pay for raw materials and inputs.
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