US: Markit Manufacturing PMI falls to 57.7 (final) in December vs 57.8 flash estimate
- Final Markit Manufacturing PMI fell to 57.7 in December from 58.3 in November.
- That was slightly below the flash reading of 57.8.
According to IHS Markit, final December Manufacturing PMI for the US was 57.7. That marked a slight downwards revision from the flash estimate of 57.8 and was below October's 57.8 reading.
Comments from Siân Jones, Senior Economist at IHS Markit:
“December saw another subdued increase in US manufacturing output as material shortages and supplier delays dragged on. Although some reprieve was seen as supply chains deteriorated to the smallest extent since May, the impact of substantially longer lead times for inputs thwarted firms’ ability to produce finished goods yet again."
“While shortages remained significant, the end of the year brought with it some signs that cost pressures have eased. The uptick in input prices was the slowest for six months, and firms recorded softer increases in selling prices amid efforts to entice customer spending.”
Market Reaction
The S&P 500 plunged at the time of the release, however, this seems to have more to do with volatility shortly after the first US equity open of 2022, rather than being to do with the latest PMI report.
Author
Joel Frank
Independent Analyst
Joel Frank is an economics graduate from the University of Birmingham and has worked as a full-time financial market analyst since 2018, specialising in the coverage of how developments in the global economy impact financial asset
