US manufacturing output hits 10-year low as world slowdown widens: ISM

A measure of U.S. manufacturing unexpectedly fell deeper into contraction, posting the weakest reading since the end of the last recession as a global slowdown and the U.S.-China trade war increasingly weigh on the sector.

The Institute for Supply Management’s factory index slipped to 47.8 in September, the lowest since June 2009, according to data Tuesday. The figure missed all estimates in a Bloomberg survey that had called for an increase from August’s 49.1.

Treasury yields plummeted, the dollar erased gains and U.S. stocks swung to losses after the report. The group’s production gauge slipped to a 10-year low while