NEW YORK (Archyde.com) – The US Composite Purchasing Managers Index (PMI) for January was 46.6, the seventh straight month of 50 points that separate economic expansion from contraction, S&P Global said on Wednesday. fell below It rose from a confirmed reading of 45.0 in December 2022 to a three-month high.
Both manufacturing and service industries rose. In 2023, business confidence strengthened.
At the same time, upward pressure on prices rose for the first time since last spring. Despite the aggressive interest rate hikes by the US Federal Reserve (Fed) to fight inflation, it showed that inflation was far from over. He also said weak business demand and high inflation were holding back consumer spending.
The manufacturing PMI for January 2023 was 46.8, beating economists’ expectations of 46.0. The previous month was 46.2.
The services PMI for January rose to 46.6, beating economists’ expectations of 45.0. The previous month was 44.7.
On the other hand, January’s input prices in services and manufacturing rose month-on-month. The increase is since May 2010.
Chris Williamson, chief business economist at S&P Global Market Intelligence, said in a statement: “Not only is the survey showing weak economic activity at the start of the year, it’s also worrying that input price gains will accelerate into the new year. “It’s tied in part to upward pressure on wages.”