Manufacturing Activity Declines

Manufacturing activity in July has contracted for the eighth time in nine months, though the pace of decline has slowed markedly. The S&P Global Flash U.S. Manufacturing PMI rose to 49.0 in July from June’s 46.3.

The details: Output increased to 50.2 in July, from 46.9 in June. New orders rose to 48.5 from 42.9.

Export demand saw significant progress (up to 48.7 from 44.9).
Hiring increased to 52.8 from 52.3
Future output picked up speed, increasing to 69.8 from 63.6.

However … The S&P Global Flash U.S. Services Business Activity Index dipped to a five-month low of 52.4, down from June’s 54.4, indicating a decline in business activity among service providers.

Across the pond: Manufacturing activity continues to decline in Europe, particularly in Germany, according to the S&P’s HCOB Flash Eurozone Manufacturing PMI.

The headline Eurozone index fell to 42.7 in July from June’s 43.4, signaling a post-COVID-19 low.