The U.S. manufacturing sector continued to expand in January but at a slightly slower pace than the month before, matching the lowest reading in a year, an industry report showed on Friday. Financial data firm Markit said its preliminary or "flash" U.S. Manufacturing Purchasing Managers Index fell to 53.7 in January, matching the 2014 low last January when severe weather impacted economic activity. Economists polled by Reuters had expected the "flash" reading at 54.0, which compares to December's 53.9 final reading. This month's output subindex rose to 55.1 from December's 54.7 final reading, while the employment subindex edged up to 53.4 from last month's 53.0.