9 January 2011 | Angeline Albert
Activity
in both the US’s manufacturing and non-manufacturing sectors was positive last
month as economic conditions improved.
Economic activity in the US manufacturing sector
expanded in December for the 17th consecutive month, according to supply
executives.
The Institute forSupply Management’s Manufacturing ISM Report On Business showed that of the 18
manufacturing industries, 11 reported growth in December, with clothing,
metals, food, computers, electronics and machinery showing strength. Only four
industries reported contraction last month.
A PMI of 57 score of in December, shows a slight boost in
comparison to November’s reading of 56.6. Both were above the crucial 50
no-change mark.
There was also strong growth in new orders and production.
ISM’s New Orders Index registered 60.9 in December - an increase of 4.3 points
on November. Ten industries reported growth in new orders last month.
Norbert Ore, chairman of the ISM Manufacturing business
survey committee said: “We saw significant recovery for much of the US
manufacturing sector in 2010. The recovery centered on strength in autos,
metals, food, machinery, computers and electronics, while those industries tied
primarily to housing continue to struggle. Additionally, manufacturers that export
have benefitted from both global demand and the weaker dollar.”
Overall the US economy grew for the 20th
consecutive month.
The Non-ManufacturingISM Report On Business showed growth in December for the 12th
consecutive month. The NMI (Non-Manufacturing Index) registered 57.1 in December,
2.1 points higher than November. The New Orders Index increased 5.3 points to
63 on the month before.
