ISM index falls to 51.3% in January vs 56.5%

WASHINGTON (MarketWatch)
U.S. manufacturers expanded in January at the slowest rate in eight months as the pace of new orders sharply decelerated, according to the closely followed ISM index
The Institute for Supply Management index sank to 51.3% from 56.5% in December
That's the lowest level since last May
Economists surveyed by MarketWatch had expected the index to drop to 56.0%
Still, any reading over 50 indicate more manufacturers are expanding instead of contracting
The ISM's new-orders gauge plunged 13.2 points to 51.2%, which was also the lowest level since May
And the employment gauge - a signal of hiring intentions - fell 3.5 points to 52.3%