U.S. factory activity steady; consumer sentiment rises

The U.S. manufacturing expansion held steady at near a two-year low in April, but a jump in consumer sentiment and stronger-than-expected vehicle sales suggested the economy was pulling out of a first-quarter soft patch. Economic growth almost stalled in the first quarter, slammed by bad weather, a strong dollar, a now-resolved labor dispute at West Coast ports, and lower oil prices, which have cut domestic energy production. The Institute for Supply Management said its index of national factory