The US manufacturing sector picked up pace in June hinting at a pickup in the economy at the end of a slumping second quarter, according to a IMS survey released.
The ISM purchasing managers index for the manufacturing sector climbed 1.8 in June to a better-than-expected 55.3, from 53.5 in May.
But that came after a sharp seven point drop in May from April, and the June index remained far below the 60-plus level achieved in the first four months of the year.
The ISM's new orders index rose just 0.6 in June, suggesting continuing fragility in the sector.
‘New orders and production were both modestly up from last month,’ the Institute of Supply Management said, adding that manufacturers were also adding jobs at a steady pace.
The sector reported that prices of inputs for manufacturing were still rising but at a much slower pace than in previous months.
