US Service Sector Growth Slows in March, Price Pressures Ease

Wednesday, 3 April 2024, 14:04

The U.S. services industry growth slowed in March, and prices paid by businesses for inputs dropped to a four-year low, signaling a positive trend for the inflation outlook. The Institute for Supply Management reported that its non-manufacturing PMI decreased to 51.4 from 52.6 in February. Despite the moderation in growth, the services industry, crucial for the economy, continued to expand.
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US Service Sector Growth Slows in March, Price Pressures Ease

US Services Industry Update

The U.S. services industry growth slowed further in March, while a measure of prices paid by businesses for inputs dropped to a four-year low, which bodes well for the inflation outlook.

Key Highlights:

  • Slowed Growth: Institute for Supply Management reported non-manufacturing PMI decreased to 51.4 from 52.6 in February.
  • Positive Trend: Drop in prices paid by businesses for inputs indicates potential easing of price pressures in the industry.
  • Industry Significance: Services sector accounts for more than two-thirds of the U.S. economy, underlining the importance of its growth trajectory.

This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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