U.S. Manufacturing Input Prices Index Reaches 80 Points in May

The Manufacturing PMI input prices index rose to 80 points in May, the highest reading since mid-2022. @KobeissiLetter reported that the increase marks the largest monthly rise in manufacturing input costs since June 2022. The index has climbed 18 points since February, matching the pace recorded during the 2021-2022 inflation period.

The current increase is attributed to Iran War-related supply constraints and rising energy costs. Surging input costs are driving further job losses and pushing businesses to raise prices on goods and services at the highest rate since August 2022. S. manufacturing and services business activity posted only modest growth in May as rising prices continue to weigh on demand.