Goods producers signaled a stronger improvement in operating conditions in November, as signaled by a rise in the IHS Markit Flash U.S. Manufacturing Purchasing Managers’ Index (PMI) to 52.2, up from 51.3 in October. The rate of overall growth was the fastest since April, albeit moderate overall.
The improvement in the health of the manufacturing sector was supported by sharper and solid expansions in production and new orders. The rate of increase in the former reached a ten-month high amid reports of stronger client demand.
Manufacturers registered the first increase in backlogs since June, with firms responding to greater pressure on capacity by increasing staffing levels at the steepest pace since March.