US manufacturing PMI hits four-month low in November
By Iain Gilbert
Date: Friday 21 Nov 2025
(Sharecast News) - US factory activity slowed to a four-month low in November as tariffs pushed up import costs and weighed on demand, according to S&P Global's latest flash survey.
The manufacturing PMI slipped to 51.9 from 52.5 in October, undershooting forecasts for 52, while new orders fell sharply to 51.3 from 54, while inventories climbed to the highest level in the survey's history, pointing to a build-up of unsold goods that could weigh on output in the months ahead.
"Manufacturers reported a worrying combination of slower new orders growth and a record rise in finished goods stock," said Chris Williamson, chief business economist at S&P Global Market Intelligence. "This accumulation of unsold inventory hints at slower factory production expansion in the coming months unless demand revives, which could in turn feed through to lower growth in many service industries."
Overall, the survey highlighted diverging trends across the US economy, with manufacturing under pressure from tariffs and rising costs, while services continued to show resilience, helping to sustain growth momentum heading into year-end.
The weakness in manufacturing was offset by resilience in services, where the PMI rose to 55 from 54.8 in October, with new orders for services firms also strengthening, climbing to 55 from 53.6. As a result, the composite output index, which tracks both manufacturing and services, edged up to 54.8 from 54.6, signalling continued expansion across the broader economy.
S&P Global noted that business confidence for the year ahead improved markedly, supported by expectations of further interest rate cuts, the conclusion of the 43-day government shutdown, and reduced political uncertainty. Firms also expressed optimism about policy support for business activity.
Reporting by Iain Gilbert at Sharecast.com
Special promo:
Trading the Forex Market? Visit FXmania.com to get advanced infomation about currencies and the Foreign Exchange
Market.
Email this article to a friend
or share it with one of these popular networks:
You are here: news
10 Lower Thames St,
London EC3R 6EN