Financial News: U.S. Manufacturing Index Climbs To Four-Year High In

U.S. Manufacturing Index Climbs To Four-Year High In July

08/03/2026 - 10:31:00 (RTTNews)

(RTTNews) - The Institute for Supply Management released a report on Monday showing its reading on U.S. manufacturing activity increased by more than expected in the month of July.

The ISM said its manufacturing PMI climbed to 55.6 in July from 53.3 in June, with a reading above 50 indicating growth in the sector. Economists had expected the index to rise to 54.0.

With the much bigger-than-expected increase, the index reached its highest level since hitting 55.9 in May 2022.

The advance by the headline index partly reflected a significant acceleration in the pace of production growth, as the production index surged to 58.5 in July from 52.2 in June.

The report also showed a turnaround in employment in the manufacturing sector, with the employment index jumping to 52.8 in July from 49.7 in June. The index reached expansion territory for the first time in 33 months.

On the inflation front, the prices index fell to 71.1 in July from 73.0 in June, indicating a continued slowdown in the pace of price growth.

The ISM is scheduled to release a separate report on U.S. service sector activity in the month of July on Wednesday. The services PMI is expected to inch up to 54.3 in July from 54.0 in June.

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