US Private Sector Remains Expanding in January
US private sector activity continued to grow in January 2026. The S&P Global Flash Composite PMI rose slightly to 52.8 from 52.7, indicating continued expansion, although at a slower pace than in the second half of 2025.
Manufacturing growth actually accelerated (54.8 from 53.6) and outpaced the services sector, which remained stable at 52.5. However, there are signs of weakening demand: order growth in two sectors softened, primarily due to declining exports.
On the labor side, the number of workers remained relatively unchanged. However, price pressures remain a major factor—input costs and selling prices remain high, largely attributed to the impact of tariffs, particularly in manufacturing, where price pressures are intensifying. Meanwhile, inflation in the services sector has eased slightly due to increased competition.
Looking ahead, business operators remain optimistic, but confidence has declined slightly. Expectations remain that the economy will continue to grow and demand will remain healthy, but they are restrained by concerns about political conditions and persistently high prices. (yds)
Source: Newsmaker.id
