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US manufacturing PMI index exceeded expectations in January

The Purchasing Managers' Index (PMI) for the manufacturing industry in the US increased by 0.7 points on a monthly basis to 50.1 in January, above market expectations.

US manufacturing PMI index exceeded expectations in January

S&P Global announced the US manufacturing, services and composite PMI preliminary data for January.

Accordingly, the manufacturing PMI reached 50.1 in January, up 0.7 points compared to last month.

The index, which signaled a slight growth in the manufacturing sector, was expected to reach 49.8.

The index, which recorded the highest level of 7 months in this period, was 49.4 in December last year.

Service sector data failed to meet expectations

Service sector PMI in the US decreased by 4 points to 52.8 in January.

The index, which recorded the lowest level of 9 months in this period and realized below market expectations, was estimated to be 56.4.

Despite the decline in January, the index, which points to the expansion in the service sector, was 56.8 in December last year.

The composite PMI, which includes manufacturing and services sectors, also decreased by 3 points on a monthly basis to 52.4 in January. The index, which recorded the lowest level of 9 months in the said period, was 55.4 in December last year.

A PMI reading of 50 and above indicates expansion in the sector, while a reading below 50 indicates contraction.

Revision in consumer confidence

Consumer confidence in the US fell for the first time in 6 months on expectations that the new administration's tariffs will trigger inflation.

The consumer confidence index decreased by 2.9 points in January compared to last month to a final reading of 71.1. The data was previously announced as 73.2.

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