January Manufacturing PMI Rises

The manufacturing industry saw growth in January, with the Institute for Supply Management’s (ISM) Purchasing Managers’ Index (PMI) rising to 50.9%, up from 49.3% in December. This marks a positive shift after over two years of decline, driven by increased demand and production.

ISM's new orders index rose to 55.1%, and the production index increased to 52.5%. Supplier delivery speeds also slowed, a sign of tightening supply chains. Employment remained stable as companies adjusted their workforces to meet growth plans.

Eight manufacturing sectors reported growth in January, including textile mills, primary metals, and machinery. Meanwhile, S&P Global’s PMI rose to 51.2%, up from 49.4% in December, with manufacturers optimistic about the future due to political stability and a pro-business stance from the new administration.

Overall, the sector showed improvement, with job creation reaching its highest level since June 2024.