ISM Manufacturing PMI Rises to 55.5% in October, Marking Tenth Month of Expansion
The U.S. manufacturing sector continued its expansion in October 2026, with the ISM Manufacturing PMI rising to 55.5%, up from 54.5% in September. This marks the tenth consecutive month of growth for the sector and the twenty-fourth month of overall economic expansion. Key drivers included a significant rise in the Production Index, which reached its highest level since November 2021. While production and new orders showed strength, there were mixed signals regarding costs and sentiment. The Prices Index remained in expansion territory at 75.2%, though it decelerated slightly from the previous month. Despite the growth in activity, general business sentiment declined for a third consecutive month, with 66% of comments being negative, citing concerns over pricing volatility, longer lead times, tariffs, and geopolitical tensions related to the Iran war.