PMI Composite Flash comes in lower than expected in December
Dec. 16, 2022 9:46 AM ETBy: Liz Kiesche, SA News Editor5 Comments
- December S&P Global U.S. PMI Composite: 44.6 vs. 46.7 consensus and 46.3 prior.
- The gauge indicates a further decline in output this month, and business activity fell a the joint-sharpest rate since May 2020. "Manufacturers and service providers alike registered steeper decreases in output, as weaker demand conditions, inflation and hikes in interest rates dampened activity levels," the report said.
- Services PMI: 44.4 vs. 46.5 consensus and 46.1 prior.
- Manufacturing PMI: 46.2 vs. 47.8 consensus and 47.6 prior.
- The overall decline in activity was driven by a faster decrease in new business across the private sector. "Pressure on purchasing power among customers and company balance sheets led to a strong decline in new orders, and one that was the fastest since May 202."
- The report also showed that inflation is easing some as average input prices increased at "a notably softer pace in the final month of the year. Cost burdens rose at the slowest pace since October 2020."
- On Thursday, U.S. retail sales fell more than expected in November.