February ISM Manufacturing Index Moves to Positive Territory

Click here to write a Letter to the Editor.
The Institute for Supply Management’s manufacturing index for February rose to positive territory from January’s contraction, ISM said Thursday.The factory index rose to 52.3 from January’s 49.3 level. Readings above 50 indicate growth, while those below 50 show contraction.The index measures U.S. manufacturing activity. Economists had predicted it would rise to 50, Bloomberg reported.“February proved to be a good month in the manufacturing sector as new orders, production and employment contributed to a solid growth scenario,” said Norbert Ore, chairman of ISM’s manufacturing survey committee.“The inventories index showed significant reduction in manufacturers' inventories for the second consecutive month, and the backlog of orders index is growing once again,” he said in a statement. The new orders index jumped 4.6 to a 54.9 reading, while production gained 4.5 to 54.1.