Industrials Higher After Factory Data -- Industrials Roundup

Features Dow Jones Newswires

Shares of manufacturing and transportation companies rose after a strong reading of factory activity.

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The Institute for Supply Management said Friday its index of manufacturing activity rose to 58.8 in August from 56.3 in July, hitting the highest level since April 2011. In a good sign for global economic activity, the Caixin China manufacturing purchasing managers index rose to 51.6 in August from 51.1 in July.

U.S. construction spending decreased 0.6% in July from June to a seasonally adjusted annual rate of $1.212 trillion, the lowest overall level since October, the Commerce Department said Friday.

Quincy Krosby, chief market strategist at Prudential Financial, said a promising sign in the recent gross domestic product report was the contribution of business capital expenditures. "That's very important because that was missing for many years," she said. "Certainly, you had capex coming from the energy sector, but that dissipated as energy prices came down. It's important that we continue with that trend."

Rob Curran, rob.curran@dowjones.com

(END) Dow Jones Newswires

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September 01, 2017 17:40 ET (21:40 GMT)