The Institute for Supply Management (ISM) announced Tuesday that its manufacturing index (PMI) rose to 61.4 in February from 60.8 in January (any reading above 50 signifies growth), representing the highest reading since May 2004.
A PMI in excess of 42.5 percent, over a period of time, generally indicates an expansion of the overall economy. Therefore, the PMI indicates growth for the 21st consecutive month in the overall economy, as well as expansion in the manufacturing sector for the 19th consecutive month.
Fabricated metal products, along with transportation equipment and machinery were among the products that registered significant gains in February for new orders, customers' inventories, supplier deliveries and production. The fabricated metal products sector also registered the highest month-over-month gain in prices.