Forexpros – Manufacturing activity in the U.S. rose more-than-expected in November, climbing at the fastest pace in five months, industry data showed on Thursday.
In a report, the Institute for Supply Management said its index of purchasing managers rose by 1.9 points to 52.7 in November, up from 50.8 in October.
Analysts had expected the ISM index of purchasing managers to ease up by 0.7 points to 51.5 in November.
On the index, a reading above 50.0 indicates industry expansion, below indicates contraction.
The report showed that the ISM index of manufacturing prices rose in line with expectations in November, climbing by 4.0 points to 45.0 from 41.0 in October.
The New Orders Index increased 4.3 points from October to 56.7, reflecting the second month of growth after three months of contraction.
Bradley J. Holcomb, chair of the ISM Manufacturing Business Survey Committee said, “Respondents cite continuing concerns about the general economic environment, government regulations and European financial conditions, but are cautiously more optimistic about the next few months based on lower raw materials pricing and favorable levels of new orders.”
Following the release of the data, the U.S. dollar added to losses against the euro, with EUR/USD gaining 0.44% to trade at 1.3505.
Meanwhile, U.S. equity markets turned higher following the report. The Dow Jones Industrial Average rose 0.1%, the S&P 500 index added 0.3%, while the Nasdaq Composite index climbed 0.7%.
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