U.S. Factory Activity Increases, Construction Spending Reaches Record High

In December, U.S. factory activity increased more than expected, which can be seen as a sign of strong economic momentum at the end of 2017. Construction spending also reached a record high in November. Manufacturing is expected to get another boost this year due to the $1.5 trillion tax cut approved by the Republican-controlled U.S. Congress last month. The sweeping tax code overhaul slashed the corporate income tax rate to 21 percent from 35 percent.