Global manufacturing PMI continues to decline, inflation pressure raises concerns🥺
UK manufacturing survey stumbling out of the gate with a 45 print, followed by Germany's manufacturing PMI at 38.8 vs 41 expected. These surveys continue a long-standing trend of the manufacturing sector struggling under the weight of higher rates and supply-chain challenges, while the services PMIs have continued to show strength thanks to a resilient consumer base.
In the US, S&P Manufacturing PMI improved slightly to 49 for July, while services PMI declined to 52.4 but remained in expansion territory. However, there's an unwelcome rebound in input prices to 50.6 vs 47.2 in the previous month, signaling potential difficulty in reducing inflation below 3% in the near term.
