Inflation's Next Wave? A Critical U.S. Manufacturing Gauge Just Surged 10% Higher

A key U.S. manufacturing cost gauge jumped 10% higher, raising concerns about a renewed inflation push. The Institute for Supply Management (ISM) reported its Manufacturing Prices Paid Index rose from 71.1 to 77.9 in September—about a 9.6% one-month gain and the highest since May. Readings above 50 signal rising prices, and near 78 point to broad, accelerating increases. The index also saw its biggest monthly rise since February. The ISM survey aligns with an active demand picture: the headline factory PMI climbed to 54.5 for nine straight months of expansion, with new orders up to 55.3 and the backlog of unfilled orders rising 4.6 points to 56.4. The article warns higher input costs can flow to consumers over the following months.