Economic activity in the U.S. manufacturing sector expanded at a faster pace in January than in December, according to the purchasing managers index for manufacturing released today by the Institute for Supply Management.

The institute’s manufacturing index rose to a reading of 54.1 in January from 53.1 in December. Readings above 50 indicate expansion. January’s reading was the highest reading since June.

The employment portion of the index fell slightly, going to a reading of 54.3 in January from 54.8 in December.