US business activity increased in May; inflationary pressures are starting to build.

Reported 6 months ago

U.S. business activity accelerated to its highest level in over two years in May, according to S&P Global, with the Composite PMI Output Index reaching 54.4. While this indicates economic expansion, manufacturers reported a surge in prices for various inputs, hinting at potential goods inflation in the upcoming months. The increase in activity is driven by the services sector, with the manufacturing sector also showing growth. Despite brighter prospects, companies remain cautious about the economic outlook amid uncertainties over inflation, interest rates, geopolitical instabilities, and the presidential election.

Source: YAHOO

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