The U.S. manufacturing sector expanded in January after 26 months of contraction, beating expectations. New orders and production index grew, employment index jumped into expansion territory. Prices increased moderately. Manufacturers anticipate more business-friendly policies under Donald Trump.
Key Points
ISM purchasing managers index for manufacturing rose to 50.9 percent
New orders grew for the third straight month
Production index crossed into expansion territory
Employment index also jumped into expansion territory
Pros
U.S. manufacturing sector expanded after 26 months of contraction