The US ISM manufacturing PMI rose slightly in December

The US December ISM manufacturing PMI rose for a second straight month in December, with both orders and production picking up, suggesting that the dark clouds hanging over manufacturing may be starting to lift. A pick-up in demand helped deliver the first monthly increase in output since May, according to output indicators. At the same time, the survey showed that more producers are cutting jobs at a faster pace. The employment index fell to 45.3 in December, down nearly 3 points and the largest since July last year. The rest of the five indicators that make up the overall PMI index improved. Timothy Fiore, chair of the ISM Manufacturing Business Survey Committee, said: "Demand improved and production execution hit November's performance and corporate targets; layoffs are continuing but should end soon with minimal price growth."