The Global Growth in Manufacturing

The recovery that we're experiencing is going on around the globe. and one area in which the entire world is participating is in manufacturing. Manufacturing accounts for 20 percent of the economy, with consumer spending accounting for the other 80 percent. The other day, we saw that consumer spending has been strong; now it's manufacturing's turn.

Here in the United States, the Institute for Supply Management's Manufacturing Index, a leading indicator of factory output, rose sharply in March, exceeding analysts' estimates. According to Bloomberg News, the ISM's gauge of exports rose to its highest level in more than 20 years.

There are similar signs of manufacturing growth all around the world:

* JPMorgan's global manufacturing index grew at its fastest pace since May 2004.

* China continues to expand, with its manufacturing output growing now for well over a year. March marked the 13th straight month with growth in manufacturing in China.

* In Europe, manufacturing output grew at its strongest level in over three years, with the biggest jump since 2007.