US manufacturing activity contracted at its sharpest pace for nearly 30 years in December, a closely watched survey suggested yesterday, underscoring the downward momentum in the economy at the turn of the year.
The Institute for Supply Managers survey index declined to 32.4 from 36.2 in November, much worse than expected, while new orders and production measures hit their lowest level since the survey began in 1948.
It coincided with manufacturing data that highlighted the sharp synchronised decline in economic activity around the world, with manufacturing suffering severe pain globally.
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