Manufacturing activity picked up pace last month behind an increase in new orders and inventories amid bad winter weather that tossed up an extra hurdle for economic growth.
Factory activity rose to 53.2 percent in February, an increase of 1.9 percentage points from January’s reading of 51.3 percent, the Institute for Supply Management, a group of the nation’s supply executives, reported on Monday.
{mosads}New orders picked up to 54.5 percent from 51.2 while inventories moved to expanding at 52.5 percent from contracting, an increase of 8.5 percentage points from 44.
Employment remained unchanged at 52.3.
Any readings above 50 indicate expansion.
Comments from the panel were mixed with complaints about the cold weather slowing down business with optimism about a notable improvement in growth in February from January.
Meanwhile, production fell to contracting at 48.2 percent, down from January’s reading of 54.8.
Winter woes also were reflected in sales drops at General Motors and Ford, according to a separate report.