US private-sector activity accelerated in September, with S&P Global’s flash composite PMI rising to 58.4 from 56.0, its highest reading since July 2021. New orders surged, while mounting backlogs and delivery delays pushed businesses’ input costs higher.
The new-orders measure climbed to 58.2 from 55.2, its highest since March 2022, while incomplete orders reached their highest level since May 2022. Companies increased hiring to tackle backlogs, but S&P Global said reports of difficulty finding suitable staff were growing.
The survey’s input-price gauge rose to 66.4 from 59.9, its highest since October 2022. S&P Global said supply constraints mostly stemmed from the US-Israeli war with Iran, then in its seventh month. The Federal Reserve raised its benchmark rate by 25 basis points the previous week, to 3.75%-4.00%, and flagged further hikes in coming months.
