US ISM Manufacturing PMI Rises to 55.5 in October as Factory Output Surges

U.S. manufacturing expanded at an accelerated pace in October, driven by a surge in production and demand linked to artificial intelligence infrastructure. The ISM Manufacturing PMI climbed to 55.5 from 54.5 in September, beating consensus market expectations of 54.7 and logging its tenth consecutive month of expansion. Factory output advanced from 56.7 to 59.0, reaching a five-year peak and its highest reading since November 2021. Meanwhile, the Prices Paid Index eased from 77.9 to 75.2, though persistent inflation and supply chain bottlenecks continue to weigh on manufacturers.