US business activity growth slows in February, S&P Global says

Feb 20 (Reuters) - U.S. business ‌activity expanded ​in ​February at the slowest rate in 10 months as orders receded at factories, new business growth slackened ‌for services firms and employment growth stalled across the ⁠board, a survey showed on Friday.

S&P Global said its flash U.S. ‌Composite PMI Output Index, which ‌tracks the manufacturing and services sectors, slipped this month to 52.3 - the lowest since April - from 53.0 in January. ​A reading above 50 indicates expansion in the private sector. Both services and manufacturing flash PMIs edged down this ⁠month.

“The PMI data so far this year are indicative of GDP rising at an ​annualized rate of just 1.5%, signalling a marked cooling of the economy in the first quarter ​compared to the robust growth rates ‌seen in the second half of last year," said Chris Williamson, chief business economist at S&P ⁠Global Market Intelligence.

Earlier on Friday, the Commerce Department reported U.S. gross domestic slowed more than expected in the fourth quarter amid disruptions ⁠from last year's government shutdown and a moderation in consumer spending. S&P ​said its service-sector PMI declined to 52.3 from 52.7 in January. Economists polled by Reuters had estimated the services PMI at 53.0. The ‌manufacturing PMI slid to a seven-month low of 51.2 from 52.4 last month and was also ‌shy of a consensus forecast of 52.6. New orders fell ⁠for the second time ‌in three months. Employment ​in both sectors dropped to a near stand-still level of 50.2.

( Reporting By Dan Burns; Editing by Chizu ‌Nomiyama)

---

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

---

You May Also Be Interested In

• Lowe's (LOW) PT Lowered to $275 at Guggenheim
• Bolivia removes economy minister after lawmaker pressure
• Klarna (KLAR) Reiterated at Market Perform by Citizens Amid Volume Headwinds