Forexpros – Manufacturing activity in the U.S. rose at a faster rate than expected in March, expanding for the 32nd consecutive month, industry data showed on Monday.
In a report, the Institute for Supply Management said its index of purchasing managers rose by 1.0 point to 53.4 in March, up from a reading of 52.4 in February.
Analysts had expected the ISM index of purchasing managers to rise by 0.6 points to 53.0.
On the index, a reading above 50.0 indicates industry expansion, below indicates contraction.
The report showed that the ISM index of manufacturing prices dipped unexpectedly last month, easing down by 0.5 points to 61.0 from 61.5 in February and defying expectations for a reading of 63.0.
The Production Index increased 3.0 points from February’s reading of 55.3 to 58.3 and the Employment Index increased 2.9 points to 56.1, the highest since June 2011.
The New Orders Index dipped 0.4 points to 54.5 from 54.9.
Bradley J. Holcomb, chair of the ISM Manufacturing Business Survey Committee said, “Of the 18 industries included in the survey, 15 are experiencing overall growth. Comments from the panel remain positive, with several respondents citing increased sales and demand for the next few months.”
Following the release of the data, the U.S. dollar held on to gains against the euro, with EUR/USD shedding 0.35% to trade at 1.3293.
Meanwhile, U.S. equity markets turned mixed to higher, with the Dow Jones Industrial Average dipping 0.15%, the S&P 500 index gaining 0.1%, while the Nasdaq Composite index added 0.2%.
