Manufacturing Slumps to 15-Month Low as Inflation Reaccelerates

America’s manufacturing sector saw its sharpest contraction in over a year in September, even as overall business activity growth remained robust, data show.

Workers assemble cars at the newly renovated Ford's Assembly Plant in Chicago, Ill., on June 24, 2019. Jim Young/AFP via Getty Images

America’s manufacturing sector saw its sharpest contraction in over a year in September even as overall business activity growth remained robust, according to new data from S&P Global, which also showed inflationary pressures reaccelerating.

The latest S&P Global U.S. Manufacturing PMI, a survey-based monthly overview of factory activity in the United States, fell deeper into recession territory in September, data released on Sept. 23 shows. The manufacturing index slumped to 47.0 in September, down from August’s 47.9 and the lowest in 15 months. Readings below 50 represent a contraction in activity.