September data revealed a solid expansion in US private sector firms, but the pace of expansion remained softer than the rate seen at the start of the summer.
- The IHS Markit Flash US Composite PMI Output Index fell slightly to 54.5 in September from 55.4 in August and lower than May’s record high.
- The growth for new orders eased to the slowest since August 2020. US service providers posted a solid decrease in exports, and ongoing virus curbs continued to hamper activity.
- The health of the US manufacturing sector improved significantly in Sept. as revealed by Flash US manufacturing PMI of 60.5 in Q3, slightly lower than 61.1 in August.
- Chris Williamson, Chief Business Economist at IHS Markit stated that the pace of US economic growth slowed further in September, having risen in Q2, reflecting peaking demand, supply chain delays, and labor shortages.
Input costs rose at a sharper pace during September as supply chain disruptions and material shortages pushed prices and transportation costs up.
DXY down -0.49%, EUR USD up +0.52% Source: IHS Markit