- Flash estimate was 50.0
- Prior was 49.8
- A renewed rise in new orders supported the move away from declining sectoral health.
- Demand conditions were historically muted overall, with firms downwardly adjusting their output expectations for the year ahead
- Total new order growth was led by domestic demand, as new international sales fell further and at a slightly sharper pace than in September
- Input costs rose at the fastest pace since April
The ISM manufacturing report is due at the top of the hour.
Siân Jones, Principal Economist at S&P Global Market Intelligence, said:
"October PMI data signalled a stabilisation of US manufacturing conditions amid a renewed rise in new order inflows and firmer output growth. Demand conditions reportedly showed signs of improvement as customer interest revived, but this was once again largely focused on the domestic market as new export orders fell at a quicker rate.
"Of concern were reports of dwindling backlogs of work, previously used to help support production, as firms also revised down their expectations for future output to the lowest in 2023 so far. At the same time, manufacturers cut employment for the first time in over three years as workloads were reportedly insufficient to warrant additional hiring or the replacement of voluntary leavers.
"On the price front, manufacturers saw sharper increases in costs and output charges, as inflation regained some momentum in the sector. Higher oil and oil-derived input prices again spurred hikes, as rates of inflation accelerated for the third month running."