US private sector output falls at softer pace, new orders grow in September

ANKARA

US private sector companies registered a softer decline in output during the month of September, according to latest flash purchasing managers' index (PMI) data released by the US-based financial services company S&P Global on Friday.

The company said its headline Flash US PMI Composite Output Index came in at 49.3 in September, up from 44.6 in August.

"Although manufacturers continued to register a slight fall in production, service providers signaled a much slower pace of decline in output," it said in a report.

The Manufacturing purchasing managers' index (PMI), which measures the activity of managers in the manufacturing sector, rose slightly by 0.3 point from the previous month to 51.8 in September -- the second-lowest reading since July 2020.

A reading above 50 indicates expansion in the sector, while a figure below 50 represents contraction.

S&P Global said new orders received by private sector firms returned to expansionary territory in September, adding this upturn was the fastest since May this year.

"New orders grew for the first time in four months at the end of the third quarter, albeit only slightly. Subdued demand conditions reportedly stemmed from concerns regarding inflation and economic uncertainty," the report said.

"Although input costs increased at a softer pace during September, firms raised their output charges at a sharper rate," it added.