NEW YORK - The manufacturing industry in the United States (U.S.) unexpectedly rebounded when compared with the slowdown that occurred in May.
As reported by the Business Investors Daily, Saturday (07/02/2011), even so there are still other data that weakened the factory area in Europe and Asia due to government efforts to curb inflation, which shows the global recovery is still fragile.
Index Institute for Supply Management (ISM) manufacturing rose 1.8 points to 55.3 last month after plunging to its lowest level over the past 20 months in May. This is the first increase in four months. Readings above 50 indicate growth.
"The good news is we are still in recovery, the bad news was not as strong as we want," said chief economist at Raymond James, Scott Brown.
Previously, the ISM index fell deep for seven consecutive years in February as the impact of high gas prices, and consumer spending is holding as a result of the tsunami earthquake that hit Japan on March 11, 2011 last.
This earthquake also caused shortages of spare parts for automobiles and electronics. Raised concerns about the weakness of the manufacturing sector out of recession.