S&P Global said on Wednesday its preliminary US composite PMI rose to 58.4 in
September from 56.0 in August, the strongest reading since July 2021, driven by
a surge in new orders and broad gains in both services and manufacturing. S&P
said the PMI is consistent with roughly 5% annualized GDP growth. Backlogs and
supply delays jumped sharply, indicating capacity shortfalls and pushing prices
higher. S&P Global Market Intelligence chief commercial economist Chris
Williamson said both sectors are clearly strong but, excluding pandemic
distortions, the expansion is occurring alongside one of the most severe
supply-chain bottlenecks in nearly 20 years. S&P added that supply constraints
have been largely linked to the US and Israel campaign against Iran, now in its
seventh month.
