CHICAGO (10/1/13)--U.S. business activity in September grew more than expected--hitting a four-month high--and furthering indications of a bounceback in manufacturing that would help bolster the largest economy in the world (Bloomberg.com and Moody's Economy.com Sept. 30).
The Institute for Supply Management (ISM) Chicago index of business activity increased to 55.7 last month--its highest level since May. It was 53 in August. Numbers greater than 50 indicate economic expansion.
Manufacturing constitutes roughly 12% of the U.S. economy, and the sector is growing because demand for appliances, automobiles and construction materials is ramping up the production on assembly lines, Bloomberg said.
An improvement in economic markets abroad and an acceleration in business investment could perpetuate advances and bolster economic growth heading into next year, Bloomberg added.