Economics

U.S. Manufacturing Remains Robust While Price Pressures Build

  • ISM’s January gauge slips as orders, production growth cools
  • Factory prices-paid measure rises to highest since April 2011

   

Photographer: Luke Sharrett/Bloomberg
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A measure of U.S. manufacturing remained robust at the start of the year, though pandemic-related supply chain disruptions are restraining production and driving up prices.

The Institute for Supply Management’s gauge of factory activity eased to a still-elevated 58.7 in January from 60.5 a month earlier, according to data released Monday. Readings above 50 indicate manufacturing is expanding. The group’s index of prices paid for raw materials rose to the highest since April 2011.