Business · Economy · 12 hrs ago
US business activity slows slightly as price pressures rise
US private-sector activity slowed slightly in October, according to a survey covering manufacturing and services.
The combined activity measure fell to 57.6 from 58.4 in September, but remained above 50, which signals growth.
Manufacturing improved while services dipped slightly, and services make up the larger share of US economic activity.
New orders edged higher, supported by domestic demand and exports.
Companies raised prices at their fastest pace since August 2022, while supplier delays worsened and added to supply-chain bottlenecks.
These pressures matter because rising costs may keep inflation high and could eventually weigh on consumer spending.
The Federal Reserve raised its benchmark rate in September, and economists expect it to hold rates steady next week before possibly raising borrowing costs again in December.
US business activity grew slightly more slowly in October, with the composite output index falling to 57.6 from 58.4 in September.
The index remained above 50, indicating continued growth in private-sector activity.
New orders rose to 58.2, their highest level since March 2022, as demand remained strong.
The output price index climbed to 59.8, its highest reading since August 2022, as companies raised prices.
Supplier delivery times worsened, pointing to growing supply-chain bottlenecks.
- Who
- US businesses across manufacturing and services. S&P Global reported the survey results.
- What
- Business activity slowed slightly, while new orders and prices rose.
- When
- October 2026; preliminary results were reported on October 23.
- Where
- The United States.
- Why
- Strong demand supported activity and gave companies room to raise prices. Supply-chain bottlenecks and higher costs added to price pressures.
This story does not have two clearly opposing sides.
The composite output index stood at 58.4, its highest level in five years.
The Federal Reserve raised its benchmark overnight rate by 25 basis points to a range of 3.75% to 4%.
The preliminary composite output index fell to 57.6, while the output price index rose to 59.8.
- Composite output index
- 57.6 in October, down from 58.4 in September
- New orders index
- 58.2 in October, the highest since March 2022
- Output price index
- 59.8 in October, the highest since August 2022
- Supplier delivery times index
- 38.1 in October, the lowest in more than four years
- Federal Reserve benchmark rate
- 3.75% to 4% after a 25-basis-point increase in September
5 sources
الصين تحث شركات النفط والغاز المحلية على زيادة الإنتاج والإمدادات
ABD'de iş faaliyetleri genişledi, fiyatlar 2022'den beri en büyük artışını kaydetti
US Business Activity Expands, Prices Surge Most Since 2022