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U.S. manufacturing picks up in October as cost pressures persist

November 2, 2026. The Institute for Supply Management’s manufacturing index rose to 55.5 in October from 54.5 in September, according to its report published Monday. A reading above 50 generally indicates expansion in the sector.

The production index increased to 59.0 from 56.7 and new orders rose to 55.5 from 55.3. The prices paid index declined from 77.9 to 75.2, but continued to signal rising input prices.

Why it matters

The survey offers a timely signal about U.S. factory activity, orders and costs, variables relevant to companies and economic policymakers.

Rockstar Briefing analysis

The production rebound coincides with persistent cost pressure. The prices index measures the breadth of changes across surveyed companies; it is not a 75.2% inflation rate. A survey is not a direct measurement of GDP.

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Source: ISM October 2026 manufacturing report, released November 2.