Manufacturing in the U.S. Just Accelerated to Its Best Year Since 2004

By 

Katia Dmitrieva

January 3, 2018, 9:00 AM CST Updated on January 3, 2018, 10:53 AM CST

U.S. manufacturing expanded in December at the fastest pace in three months, as gains in orders and production capped the strongest year for factories since 2004, the Institute for Supply Management said Wednesday.

HIGHLIGHTS OF ISM MANUFACTURING (DECEMBER)
Factory index climbed to 59.7 (est. 58.2) from 58.2 a month earlier; readings above 50 indicate expansion Gauge of new orders advanced to 69.4, the highest in nearly 14 years, from 64 Measure of production increased to 65.8, the strongest since May 2010, from 63.9

Key Takeaways

The survey-based measure of factory activity -- the year’s second-highest behind September, when storm-related supply delays boosted the index -- brings the 2017 average to 57.6, the best in 13 years. The latest gain extends a string of strong readings that’s been fueled by more domestic business investment, improving global economies and steady spending by American households.