Growth Picks Up for U.S. Manufacturers

Washington, DC, Sept. 1, 2010–Growth conditions for U.S. manufacturers improved for the first time in four months, the Institute for Supply Management reported Wednesday.

The ISM index rose to 56.3% in August from 55.5% in July. This was much stronger than expected. The consensus forecast was for the index to fall to 53.2%. Readings above 50 indicate expansion.

The key employment index improved to 60.4% in August from July’s 57.8%. Production also jumped. However, new orders slipped to 53.1% in August from 53.5 in the prior month.