WASHINGTON (Reuters) – U.S. manufacturing activity slowed in October as a measure of new orders dropped to a 16-month low and factories continued to experience delays with deliveries of raw materials.
The Institute for Supply Management (ISM) said on Monday its index of national factory activity slipped to a reading of 60.8 last month from 61.1 in September.
A reading above 50 indicates expansion in manufacturing, which accounts for 12% of the U.S. economy. Economists polled by Reuters had forecast the index falling to 60.5.
The economy is struggling with shortages across industries as global supply chains remain clogged. Supply constraints, which were worsened by a wave of COVID-19 infections driven by the Delta variant over summer, helped to restrain economic growth to its slowest…