US manufacturing PMI falls to over 2-year low in August

By Tuba Sahin

ANKARA (AA) - Flash US Manufacturing Purchasing Managers Index (PMI) decreased to an over 2-year low in August, led by muted demand conditions and production cutbacks, according to a report by the financial services company S&P Global released Tuesday.

The index, which measures the activity level of purchasing managers in the manufacturing sector, fell to 51.3 in August, down from 52.2 in July and below market forecast of 52 for the month, preliminary figures showed.

Output deteriorated for the second month in a row, driven by ongoing supply chain issues, along with weak client demand amid higher input prices.

New export orders plummeted as demand was cut in export markets due to inflationary pressures.

At the same time, manufacturers registered the slowest rise in cost burdens since January 2021 while supply chain disruption indicated improvements.