MANUFACTURING activity in the US grew in April for the first time in nine months.

Purchasing managers said it was another sign of the economy bouncing back from weakness in late 1995 and early 1996.

The National Association of Purchasing Management said its Purchasing Managers' Index rose 50.1 per cent in April from 46.9 per cent in March. A reading above 50 per cent indicates growth in manufacturing and one below it points to a decline.

"The manufacturing sector at a very slow rate in April, with production and new orders indicating increased activity,"

Ralph Kauffman, who heads the group's survey.

Despite the improvement, manufacturing is poised for only modest growth ahead, he said and most economists agreed.