ISM corrects US factory index to show solid growth in May; orders and production jump.

WASHINGTON – The Institute for Supply Management has twice corrected its May manufacturing index to show that factories grew at a strong pace last month. The original report said that manufacturers had expanded at a weaker pace.

The ISM's manufacturing index for May now reads 55.4, up from 53.2 in the initial report. Any reading above 50 indicates expansion.

The corrected figures show that measures of production and orders rose, rather than fell. Production surged to 61 from 55.7 in April. Factories added jobs, according to a gauge of employment, but at a slower pace.