Manufacturing index increases for third straight month   

The Institute of Supply Management reported that the Purchasing Managers' Index (PMI) gained 1.0 points to 54.1 in January from 53.1 in December. This represents 30 consecutive months of growth, and is the highest level since June . A PMI over 50 indicates growth while a PMI under 50 indicates contraction in the manufacturing sector of the economy. The index reached a low of 32.5 in December 2008 but then recovered more quickly than other areas of the economy. Manufacturing has been a bright spot in the economy and the dramatic drop in the prior few months was a cause for concern, but the surge in the last tow months is welcome news. The vertical bars in the graph represent recessions.