Tuesday, May 5, 2015Tuesday, May 5, 2015

US January factory activity nears two-year high

Published on Jan 24, 2013 10:15 PM

NEW YORK (REUTERS) - US manufacturing got off to a strong start this year, as rising domestic demand helped the sector grow this month at its fastest clip in nearly two years.

Financial information firm Markit said its US "flash", or preliminary, manufacturing purchasing managers index (PMI) rose to 56.1 this month, its best showing since March 2011. It stood at 54 last month. A reading above 50 indicates an expansion.

Output grew at its fastest pace since March last year, with the sub-index rising to 57.2 from 54.5 last month.

Firms tied the growth surge to higher demand from US customers, reflected by the index's new orders component, which rose to 57.7, the highest level since May of 2010.

Enjoy 2 weeks of unlimited digital access to The Straits Times. Get your free access now!