U.S. Manufacturing PMI Holds Close To Highest Since 2022 As Price Pressures Build

What happened: US factories reported strong growth in October, sustaining the sector's best growth spell since early 2022, though supply chain strains and difficulty meeting demand, especially for AI-related goods and equipment, were evident. Key numbers: S&P Global US Manufacturing PMI recorded 54.9 in October. Why it matters: The price increase indicates a marked uplift in inflationary pressures at the factory gate. Widespread difficulties servicing high demand led to a further improvement in the hiring trend as companies sought to boost productive capacity.

US factories reported strong growth in October, sustaining the sector's best growth spell since early 2022, though supply chain strains and difficulty meeting demand, especially for AI-related goods and equipment, were evident.

The price increase indicates a marked uplift in inflationary pressures at the factory gate. Widespread difficulties servicing high demand led to a further improvement in the hiring trend as companies sought to boost productive capacity.