US manufacturing activity in April highest in 7 months
United States manufacturing Purchasing Managers' Index (PMI) stood at 59.2 in April, representing a decrease of 0.5 index points compared to the "flash" figure but a 0.4 index point rise from the previous month's number, according to the report published by S&P Global on Monday.
The April reading was the highest since September 2021, and the overall increase in activity across the sector was mostly attributed to further improvement in production and growth in new orders. However, input costs jumped, causing businesses to pass the costs to clients, which led to selling prices soaring to the highest point since October last year.
"[W]hile the survey data add to indications that the pace of economic growth will improve in the second quarter after a lacklustre first quarter, the less welcome news is that elevated inflationary pressures show no signs of relenting," S&P Global Chief Business Economist Chris Williamson said in the report.