The U.S. manufacturing sector expanded in January, and prices paid jumped more than expected, according to an industry report released on Tuesday.

The Institute for Supply Management said its index of national factory activity rose to 60.8 last month from 58.5 in December. The median forecast of 76 economists surveyed by Reuters was for a reading of 58.

A reading above 50 indicates expansion in the sector.

The prices paid component rose to 81.5 from 72.5 in December.

(Editing by James Dalgleish)

Manufacturing