IHS Markit reported a continued upturn in the US manufacturing sector in February with the rate of production growth the fastest in six years. Although its February purchasing managers’ index fell to a reading of 58.6 in February from 59.2 in January, it was the second-fastest since April 2010. However, IHS also noted a substantial increase in input costs.

The organization also reported employment in manufacturing grew at its steepest rate since September 2014 as business confidence also improved.

“Another month of strong production growth suggests that the US manufacturing sector is close to fully recovering the output lost to the pandemic last year, and a renewed surge in optimism suggests the recovery has much further to run,” said Chris Williamson, chief business economist at IHS Markit.

Williamson continued, “Business expectations about the year ahead jumped to a level only exceeded once over the past six years, buoyed by a cocktail of stimulus and post-Covid recovery hopes as life continues to return to normal amid vaccine roll outs.”