U.S. factory activity expanded at a healthy pace in June as new orders, output and exports rose, new industry data showed Friday, providing another sign that U.S. economic growth was regaining its footing after weakness early this year.

    Automakers reported higher June sales amid strong demand for pickup trucks and sport utility vehicles, but on an annualized basis, the June industry selling rate came in at 16.66 million units, well below May’s sales pace of 17.45 million.

    Ford Motor and Fiat Chrysler reported June sales gains of 6.4 percent and 6.5 percent, but General Motors, Toyota Motor and Volkswagen all sold fewer vehicles.

    Some analysts say that industry sales may have peaked in 2015 at 17.45 million units, but GM chief economist Mustafa Mohatarem still held out hope for another record year.

    “Positive economic indicators like historically low interest rates, stable fuel prices, rising wages and near-full employment provide the environment for strong auto sales to continue in the second half of the year,” Mohatarem said.

    But the positive for manufacturing and autos was dampened by a second straight monthly drop in construction spending in May.

    The weaker construction data could prompt some economists to trim back their second-quarter growth estimates and could help reinforce the Federal Reserve’s view that there is currently too much uncertainty over global and U.S. growth to raise interest rates in the near term.

    “Net-net it is a certainly a bit of a mixed picture, a mixed bag, but I think in terms of direction, what is evidenced here, is that growth momentum has rebounded,” said Millan Mulraine, deputy chief economist at TD Securities in New York.

    He added that a major “asterisk” to the improvement is that the data surveys predate Britain’s vote last week to leave the European Union, which has injected a big source of uncertainty to the global growth outlook.(SD-Agencies)