Investing.com – Manufacturing activity in the U.S. rose unexpectedly in January, rising to the highest level since May 2004, industry data showed on Tuesday.
In a report, the Institute for Supply Management said its index of purchasing managers rose to 60.8 in January, after rising to 58.5 in December, whose figure was revised up from 57.0.
Analysts had expected the ISM index of purchasing managers to decline to 58.2 in January.
On the index, a reading above 50.0 indicates industry expansion, below indicates contraction.
According to the data, the level of the PMI has remained above the neutral 50.0 mark for 18 consecutive months.
The report also showed that the ISM index of manufacturing prices rose significantly more-than-expected in January, jumping to 81.5, after rising to 72.5 in December.
Analysts had expected the ISM index of manufacturing prices to increase to 73.5 in January.
Norbert J. Ore, chair of the ISM Manufacturing Business Survey Committee said, “New orders and production continue to be strong, and employment rose above 60 percent for the first time since May 2004. Global demand is driving commodity prices higher, particularly for energy, metals and chemicals."
Following the release of the data, the U.S. dollar was down against the euro, with EUR/USD rising 0.34% to hit 1.3740.
Meanwhile, U.S. equity markets were broadly higher. The Dow Jones Industrial Average jumped 0.57%; the S&P 500 index surged 0.92%, while the Nasdaq Composite index rallied 1.03%.
In a report, the Institute for Supply Management said its index of purchasing managers rose to 60.8 in January, after rising to 58.5 in December, whose figure was revised up from 57.0.
Analysts had expected the ISM index of purchasing managers to decline to 58.2 in January.
On the index, a reading above 50.0 indicates industry expansion, below indicates contraction.
According to the data, the level of the PMI has remained above the neutral 50.0 mark for 18 consecutive months.
The report also showed that the ISM index of manufacturing prices rose significantly more-than-expected in January, jumping to 81.5, after rising to 72.5 in December.
Analysts had expected the ISM index of manufacturing prices to increase to 73.5 in January.
Norbert J. Ore, chair of the ISM Manufacturing Business Survey Committee said, “New orders and production continue to be strong, and employment rose above 60 percent for the first time since May 2004. Global demand is driving commodity prices higher, particularly for energy, metals and chemicals."
Following the release of the data, the U.S. dollar was down against the euro, with EUR/USD rising 0.34% to hit 1.3740.
Meanwhile, U.S. equity markets were broadly higher. The Dow Jones Industrial Average jumped 0.57%; the S&P 500 index surged 0.92%, while the Nasdaq Composite index rallied 1.03%.