Stocks rise due to positive development in U.S. manufacturing
Throughout the U.S., recent reports have highlighted a number of fairly positive developments in the country’s manufacturing sector. These have been attributed as one of the major causes for the recent increases in the stock futures of various Wall Street indexes, according to the Associated Press.
The news source reports that one hour before trading opened on September 28, futures rose by 30 points in the Dow Jones Industrial Index, by three points in the Standard & Poor’s (S&P) 500 index and four in the Nasdaq 100. These increases place the Dow at 11,147, the S&P 500 at 1,173 and the Nasdaq 100 at 2,259.
In August, factory orders for long-lasting manufactured goods dropped by 0.1 percent. Despite the negativity that might be associated with that decrease, it is well ahead of estimates that predicted a larger drop of around 0.5 percent, cementing the status of the manufacturing sector as one of the stronger industries in the overall U.S. economy.
The latest numbers from the Bureau of Labor Statistics state that although the manufacturing sector’s hourly output dropped slightly while unit labor costs rose in the second quarter of 2011, overall output and hourly compensation rose, by 1.2 percent and 3.1 percent, respectively.