US manufacturing PMI in September rises to 2-month high

By Ovunc Kutlu

ISTANBUL (AA) - The US manufacturing PMI in September rose to its highest level in two months, according to a report by S&P Global on Friday.

The manufacturing purchasing managers' index (PMI), which measures the activity of managers in the manufacturing sector, added 1 point to 48.9, up from 47.9 last month, according to flash estimates by the financial services company.

The expectation for manufacturing PMI was to come in at 48.0, while the index remained in the contraction territory.

A reading below 50 represents contraction, while above 50 indicates expansion in the sector.

"US businesses signaled a broad stagnation in output at the end of the third quarter as manufacturers and service providers alike indicated muted demand conditions," the report said.

"September data indicated the worst performance across the private sector since February, as the service economy lost further momentum," it added.

The S&P Global Flash US Services Business Activity Index came in at 50.2 in September, down 0.3 points from 50.5 in August, and hitting its lowest level in eight months.

"New orders fell at the strongest pace this year so far as demand for services slipped further into contractionary territory," said the report.