US business activity rose the most in more than two and a half years in November, helped by a burst of growth in the country’s vast services sector.
The S&P Global flash US services PMI jumped to 57 in November, up from 55 in October, thanks to improved business confidence and an uptick in demand following the presidential election. The result exceeded economists’ expectations and marked the gauge’s highest level since March 2022.
The US PMI composite output index, which combines activity across the services and manufacturing sectors, hit a 31-month high of 55.3 from 54.1 in October “solely” because of the performance of the former.
“A concern is that growth remains heavily reliant on the services economy, with manufacturing production declining at an increased rate,” S&P Global’s Chris Williamson said.
However, “the promise of greater protectionism and tariffs has helped lift confidence in the US goods-producing sector”, Williamson continued.
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