Manufacturing activity growth in the U.S. slowed in the first month of the second quarter although remained at a pace that suggests the industry will continue to drive the economic recovery, according to Bloomberg. On Monday, the Institute for Supply Management reported that its manufacturing index dropped to 60.4 in April from 61.2 the previous month, which remains well above the growth-neutral 50-point marker. The reading was better than the 59.5 that economists had expected.
Within the report, the production sub-index was seen over five points lower at 63.8 in April from the seven-year high posted in March. The gauge for new orders eased slightly to 61.7, while orders yet to be filled leapt nearly nine points higher to 61 in April. The sub-indices for exports, inventories, and prices paid all increased, while the gauge for employment fell and customer stockpiles continued to contract.