PMI: U.S. Private Sector Recovery Loses Momentum, Hits a 3-Month Low

Flash U.S Composite Output Index for December was 55.7, a 3-month low, down from 58.6 in November, according to IHS Markit press release. The loss of private sector momentum was caused by COVID-19 related restrictions and input prices, which rose at the sharpest rate since April 2018.

• Flash U.S. Services Business Activity Index recorded a 3-month low of 55.3, down from 58.4 in November
• Flash U.S. Manufacturing PMI recorded a 2-month low of 56.5, down from 56.7 in November
• Flash U.S. Manufacturing Output Index recorded a 2-month low of 57.3, down from 59.2 in November
• The rate of growth was sharp overall, despite easing to a three-month low.
• New orders continued to rise at one of the fastest rates since February 2019 but were weighed down by temporary shutdowns and client uncertainty.
• Companies registered a fall in new export sales despite a recovery in domestic demand among manufacturing and service sector firms
• Business confidence was relatively strong in December, despite falling from the November level.

U.S stocks are currently gaining as the dollar loses. SPY is up 0.084%, EURUSD is up 0.20%