U.S. Manufacturing Growth Slows in Nov.

The U.S. manufacturing sector kept expanding in November, a key survey of purchasing managers shows, though a falloff in orders suggests some easing in the pace of growth. Separately, the Commerce Department said spending on new construction projects barely edged up 0.1% to a seasonally adjusted annual rate of $605.5 billion in October. The government report shows healthy spending on residential projects but weaker investment in new commercial projects as the third quarter ended. The National Assn. of Purchasing Management said its closely watched index of manufacturing activity fell to 54.4 in November from 56.0 in October, though the overall economy grew in November for the 79th consecutive month. Even more heartening, said the group that includes purchasing managers from more than 300 industrial companies, was that prices paid by manufacturers showed a slower rate of increase compared with the October rate. An index above 50 indicates that the manufacturing economy is generally expanding, while a rate below 50 indicates it is contracting.