WASHINGTON (Reuters) – U.S. business activity accelerated in January, preliminary results from S&P Global purchasing managers surveys showed on Wednesday.
The “flash” composite PMI index accelerated to 52.3 in January, the highest level since last June, against 50.9 in December, thanks in particular to the increase in activity in services and in the manufacturing industry.
The manufacturing sector PMI returned to growth, reaching 50.3 in January, its highest level in 15 months, compared to 47.9 in December.
The services PMI rose to 52.9 in January from 51.4 in December.
The 50 mark separates growth and contraction in activity.
The improvement in the composite PMI strengthens economists’ forecasts that the U.S. economy will continue to grow in 2024, albeit at a moderate pace.
Businesses further raised the prices of their products and services at a slower pace, with the producer price indicator falling to 51.7, its lowest level since May 2020, from 54.8 in December.
However, companies have seen increasing delays in material supplies, which could put upward pressure on raw material prices, with manufacturing lead times lengthening for the first time in more than a year. year and in the most significant way since October 2022.
Houthi rebel attacks on commercial shipping in the Red Sea and drought in the Panama Canal also pose a risk to inflation.
(Report Lucia Mutikani, French version Diana Mandiá, edited by Blandine Hénault)
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