The ISM Manufacturing PMI increased 0.9 pts to 49.3 in December, above expectations of a reading of 48.4 and the highest since April. The New Orders index increased to a reflect a stronger increase in demand, up 2.1 pts to 52.5. In response to a higher demand growth rate, the Production index flipped from a contraction of 46.8 in November to 50.3 in December.

The Employment index missed by a significant amount, dropping -2.8 pts to 45.3 while the consensus was that the index would stay at 48.0. The Prices index increased from a minor expansion in to a more solid expansion at 52.5, a 2.2 pt increase over November.