US equities tread higher on Monday, though much lower than when the day started following news that President Obama’s call for limited strikes against Syria were supported by two Republicans.
Fears on impending warfare overshadowed stronger-than-anticipate manufacturing and construction data. The Dow Jones Industrial Average index rose by 23.65 points to 14,833.96 and the S&P500 index gained 6.80 points to 1,639.77.
Last August, the Institute for Supply Management’s manufacturing purchasing managers index (PMI) climbed to 55.7, beating the market estimate of 54.0, July’s 55.4, and was also the highest level since June of 2011. The monthly increase was mainly due to an increase in the new orders index, which jumped to 63.2, much higher than the 58.3 in July and the strongest reading since April 2011.
Likewise, 15 out of the 18 industries monitored showed growth, while two were stable. ISM Chairman Bradley Holcomb noted that the US economy was still vulnerable to external risks though, locally things were looking up for the manufacturing sector.