The lagging manufacturing sector may be about to rebound, according to a reliable indicator

Chip stocks in the manufacturing economy may point the way to a rebound.

According to the widely watched ISM manufacturing index, manufacturing activity has been contracting since the summer, but this may be about to change.

Natixis economist Joseph LaVorgna said that semiconductor stock performance has recently diverged significantly from the ISM, with the PHLX Semiconductor Sector Index (SOX) springing higher, while the I....