Tuesday, September 3, 2024
Year : 2, Issue: 35
Production in the US fell in August for the first time in seven months, global data provider S&P Global said Tuesday in a report. Sales continued to decreased last month amid increasing reports of demand weakness, said the report.
The pace of input cost inflation quickened to a 16-month high, while output prices also rose at a faster pace, it added.
The S&P Global US Manufacturing Purchasing Managers’ Index (PMI) stood at 47.9 in August, down from 49.6 in July, and came in below the 50.0 no-change mark for the second consecutive month.
The expectation for the index was to come in at 48.0. A reading above 50 indicates expansion and below 50 shows contraction.
“A further downward lurch in the PMI points to the manufacturing sector acting as an increased drag on the economy midway through the third quarter,” said Chris Williamson, chief business economist at S&P Global Market Intelligence.
“Slower than expected sales are causing warehouses to fill with unsold stock, and a dearth of new orders has prompted factories to cut production for the first time since January,” he added.Source & Photo: Agencies
