Business Activity Expands in December

Chicago, IL, Dec. 29, 2011 -- Business activity in the U.S. expanded more than forecast in December, according to the Institute for Supply Management-Chicago.

Companies increased employment and American manufacturing appears to be withstanding the slowdown in Europe.

ISM said its business barometer decreased to 62.5 from 62.6 in November. Readings above 50 signal growth.

Economists forecast the gauge would fall to 61.