U.S. economic activity slumped in April, with S&P Global\u2019s flash composite PMI dropping to a 16-month low of 51.2, driven by uncertainty over tariff policies.\u00a0<\/p>\n
Services activity fell to 51.4 from 54.4, while manufacturing edged up to 50.7.\u00a0<\/p>\n
Business optimism hit its lowest since July 2022, reflecting fears of economic slowdown.\u00a0<\/p>\n
Rising tariffs fueled a sharp increase in goods and services prices, the highest in over a year, complicating Federal Reserve policy.\u00a0<\/p>\n
Chris Williamson, chief business economist at S&P Global Market Intelligence said, “The early flash PMI data for April point to a marked slowing of business activity growth at the start of the second quarter, accompanied by a slump in optimism about the outlook,” adding, “At the same time, price pressures intensified, creating a headache for a central bank which is coming under increasing pressure to shore up a weakening economy just as inflation looks set to rise.”<\/p>\n