US business activity picks up in June

(Sharecast News) - US business activity picked up in June, with preliminary data from S&P Global data showing manufacturing, services and the overall US economy all growing at their fastest pace in several months. S&P Global's manufacturing purchasing managers index rose to 55.7 from 55.1 in May, beating expectations and marking the strongest reading since May 2022. Output growth accelerated at the fastest pace since July 2021, supported by the biggest jump in new orders in more than two years and a sharp rise in input inventories.

Supplier delivery times lengthened at the quickest rate since August 2022, although the headline index was held back by the steepest fall in factory employment since May 2020.

Elsewhere, the services PMI edged up to 51.3 from 50.7, slightly above consensus and signalling the fastest rate of expansion in four months.

Together, the moves lifted the composite PMI to 52.2 from 51.5, the strongest pace of private‑sector growth since January. S&P Global said the improvement reflected a six‑year high in manufacturing output and firmer services activity.

New orders increased across the economy, with services demand likely boosted by the start of the FIFA World Cup and manufacturers reporting clients bringing forward orders amid concerns over potential Middle East‑related supply disruptions.











Reporting by Iain Gilbert at Sharecast.com