Lates News

Chris Williamson, Chief Business Economist at S&P Global Market Intelligence, commented on the March PMI data in the United States, stating that amidst the backdrop of the conflict in the Middle East, the American manufacturing sector has shown impressive resilience. Businesses also maintain good confidence in output for the coming year. This ongoing resilience is partly due to reduced concerns about government policies and also indicates that manufacturers expect the impact of the war to be short-term and limited, although uncertainty still exists. Currently, the effects of the conflict are still in the early stages, with sharp price increases and delivery delays casting a shadow over prospects, potentially raising inflation, dampening demand, and hindering supply chains. Rising oil prices have significantly increased factory input costs, and supplier delays are more widespread than at any time since October 2022. In response, some manufacturers are increasing inventory and halting recruitment to lower labor costs in anticipation of future price hikes or supply shortages, highlighting concerns about potential issues for factories in the coming weeks due to the war.