February ISM US Manufacturing Index Declines Slightly From January, Still In Expansion Territory

10:12 AM EST, 03/02/2026 (MT Newswires) -- The Institute for Supply Management's US manufacturing index declined to 52.4 in February from 52.6 in January, compared with expectations for a 51.5 reading in a survey compiled by Bloomberg.

There were declines in the readings for new orders and production, but increase in employment, inventories, supplier deliveries, order backlogs and prices.

ISM said the manufacturing sector expanded in February for the second straight month although it grew at a slower pace than the month before.

The monthly national manufacturing reading from the Institute for Supply Management is reported as a headline index, with readings above 50 indicating expansion and those below 50 indicating contraction. Component indexes measure new orders, production, employment, and prices.

An increase in the index further above 50 is considered a sign of a strong US manufacturing sector, generally a positive for manufacturing industry stocks. However, if that strength comes with rising input prices due to shortages, that could be a negative for stocks as well as bonds.

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