June ISM manufacturing index climbs to 52.8, the highest since May 2022, driven by accelerating new orders and export growth.
The US manufacturing sector expanded for the fifth consecutive month in June, with the ISM index rising to 52.8, its highest level since May 2022. The increase was led by a surge in new orders to 56.8, up from 54.1 in May, signaling robust demand ahead.
New export orders returned to expansion at 50.6, while production and employment also improved, though employment remained in contraction at 48.6. Prices paid eased slightly to 82.1 but remained elevated, reflecting persistent cost pressures amid rising oil prices tied to geopolitical tensions.
Market participants noted the report’s strength but cautioned against over-optimism, citing uneven labor trends and lingering inflation risks. The data suggests a potential tailwind for manufacturing heading into the second half of the year.