An index of U.S. manufacturing activity slowed to its slowest pace in a year in October, Markit Economics said Friday.
The economic research firm revised its flash estimate of the U.S. purchasing managers index for U.S. manufacturing in October higher, raising the PMI from 51.1 to 51.8. But the final estimate is 1 percentage point behind September's 52.8.
Markit said the new orders index came in at 52.7, down from 53.2 in September. The employment index showed a faster rate of growth at 52.7 compared to September's 51.3.
"While better than the earlier flash reading, the final PMI data indicate that the U.S. manufacturing sector ground to a near standstill in October," said Markit Chief Economist Chris Williamson.
Williamson said the near-term outlook remained uncertain, as manufacturers allowed inventories to drop at the fastest rate since 2009.
However, "encouragingly, it looks like companies are expecting the slowdown to be temporary, most likely linked to the government shutdown, as indicated by an upturn in the rate of job creation," he said.
Copyright 2013 United Press International, Inc. (UPI). Any reproduction, republication, redistribution and/or modification of any UPI content is expressly prohibited without UPI's prior written consent.
Original headline: U.S. manufacturing limped through October
Most Popular Stories
- Dmytro Firtash, Ukrainian Billionaire, Arrested in Vienna
- Obama, Ukraine Discuss Russian Incursion in Crimea
- Obama's Overtime Initiative Praised, Condemned
- Republicans Warn Obama on Immigration
- Liberty Media Drops Sirius Bid
- West Readies Harsh Sanctions Against Russia
- Drake Wins Big MTV's Woodie Awards at SXSW
- Uli Hoeness, Bayern Munich President, Gets Prison for Tax Evasion
- Lady Gaga Roasts Self on Spit at SXSW
- Calumet Photo Files for Bankruptcy