Pace of U.S. factory activity picks up in Oct.

U.S. factories were busier in October, a sign that manufacturing is on sound footing despite growing concerns about the global economy.

Orders, productivity and hiring all grew faster than they did in September, according to a private survey.

The Institute for Supply Management, a trade group of purchasing managers, reported Monday that its manufacturing index rebounded to 59 last month from 56.6 in September. Any reading above 50 signals expansion.

The result matches a threeyear high hit in August and reverses a September drop.

“Today’s report suggests that the manufacturing sector is expanding and will likely continue at a healthy pace in the coming quarter,” Bricklin Dwyer, an economist at BNP Paribas, wrote in a research note.

Sixteen of 18 manufacturing industries grew last month, and new orders accelerated. Only petroleum and coal reported a decrease in activity.—