Industrials Up on Factory Data -- Industrials Roundup

FeaturesDow Jones Newswires

Shares of manufacturing and transportation companies rose after strong factory data. Manufacturing activity in the U.S. reached a 13-year high in September, as strong demand and order growth offset the effects of a severe hurricane season. The Institute for Supply Management said Monday that its index of manufacturing activity climbed to 60.8 last month from 58.8 in August, hitting its highest reading since May 2004.

"Comments from respondents in the report indicated the hurricanes have caused supply chain and pricing issues," said analysts at brokerage Morgan Stanley, in a resarch note.

Continue Reading Below

Railroad stocks declined after analysts at brokerage Morgan Stanley warned that slowing shipments of autos and coal could weigh on volumes for freight railroads in the second half of this year. Investment firm Icahn Enterprises expanded its automotive-service holdings, agreeing to buy American Driveline Systems for an undisclosed sum. With the acquired stores, the total number of auto shops owned by Carl Icahn's firm would rise by more than one third to roughly 1,900, mostly in the U.S., Puerto Rico and overseas. General Electric closed the sale of its water business to Suez for $3.4 billion, a move that was required by the Justice Department as a condition for its Baker Hughes acquisition.

-Rob Curran,

(END) Dow Jones Newswires

October 02, 2017 16:24 ET (20:24 GMT)