Source: IHS Markit
The growth of the US private sector continued to expand in September but cooled to the weakest pace in 12 months.
- The IHS Markit Flash US Composite PMI Output Index fell to 54.5 in September, down from 55.4 in August. This is the slowest growth since September 2020.
- Services slipped to 54.4 from 55.1 in the previous month, marking the lowest in 14 months, as COVID-19 concerns continued.
- The decline is due to the slower growth in new business, which marked the fourth month of deceleration. Sales also fell due to a drop in new export orders.
- Manufacturing fell to 60.5 from 61.1 in August, the lowest in five months. Manufacturing output slipped to 55.2 from 56.7, to hit an 11-month low.
- New order growth moderated to the slowest in 13 months, while backlogs rose by the second-fastest pace in over 12 years of data collection.
- Input costs posted a steep climb, with the cost inflation hitting a four-month high and the second-highest on record.