Editor's PiCK
US December services PMI 52.5…"New orders weakened·Price pressures increased"
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- The US December services PMI stood at 52.5, slightly below market expectations.
- The new orders growth weakened to its weakest in 20 months, and demand slowdown became evident.
- It reported employment declines, widening price pressures, and that firms' future production outlook has weakened.
- The article was summarized using an artificial intelligence-based language model.
- Due to the nature of the technology, key content in the text may be excluded or different from the facts.
US service-sector activity remained in expansion as of the end of 2025, but the pace of growth slowed and price pressures increased again.
According to the PMI report released by S&P Global on the 6th (local time), the US December services purchasing managers' index was 52.5, slightly below the market expectation (52.9).
The PMI uses 50 as the threshold to gauge expansion or contraction in the services sector.
Chris Williamson, chief economist at S&P Global, said, "Service-sector activity continued to expand in December, but the pace of new orders weakened to its weakest in 20 months, making signs of demand slowdown clear." He diagnosed that "combined with falling manufacturing orders, overall demand growth is weakening."
He added, "As more firms cut employment, for the first time since February last year the number of firms reducing employment exceeded those increasing it," and explained, "Firms' expectations for future output are also considerably lower compared with early last year."
Williamson also added, "Tariffs and the burden on purchasing power are weighing on business sentiment, and the uncomfortable combination of slowing growth and high inflation may persist into the start of the year."
