Economic activity in the manufacturing sector expanded in November, according to The Institute for Supply Management on Thursday, and the overall economy grew for the 90th consecutive month.
U.S. manufacturing index hit 53.2 in November, up from 51.9 in October, according to The Institute for Supply Management. The index was expected to hit 52.2 for November, according to Thomson Reuters consensus estimates.
A reading above 50 indicates expansion in the manufacturing sector and a reading below 50 indicates contraction.
"Of the 18 manufacturing industries, 11 are reporting growth in November," Bradley Holcomb, chair of the Institute for Supply Management, said in the report.
The leading two industries on the report were miscellaneous manufacturing and petroleum and coal products.
The New Orders Index, which includes reporting from apparel, food, beverage and more products, registered 53 percent, an increase of 0.9 percentage point from the October reading of 52.1 percent. The Production Index registered 56 percent, over 1 percentage point higher than the October reading of 54.6 percent, according to the report.
From October 2015 through February of this year, U.S. manufacturing retreated in the face of economic weakness overseas and a strong dollar. That made U.S. exports more expensive. But factories began to recover as the dollar tumbled during the first half of the year.
The manufacturing index is based on surveys of more than 300 manufacturing firms by the Institute of Supply Management. It monitors employment, production, new orders, supply deliveries and inventories.