US service sector slows more than expected in November
Trade tensions and worker shortages has caused the U.S. services sector to slow more than expected for November. Manufacturing activity contracted for the fourth straight month since 2012 according to the ISM. The non-manufacturing activity index decreased to 53.9 in November compared to 54.7 in October. These manufacturing slumps have also countered growth expectations for the fourth quarter, which had been increased by a "rush of upbeat reports on the trade deficit, housing and business investment. Do you think the service sector will keep slowing because of this trade war with China?
https://www.cnbc.com/2019/12/04/november-ism-non-manufacturing-index-comes-in-at-53point9-vs-54point5-estimate.html
https://www.cnbc.com/2019/12/04/november-ism-non-manufacturing-index-comes-in-at-53point9-vs-54point5-estimate.html
I think the trade war will continue and manufacturing will keep on slowing.
ReplyDeleteI agree with Andrew on this one. Although there has been rumors that an end is near for the trade war, until that happens our economy as a whole will take a hit.
ReplyDeleteYes I also agree that it will continue to slow down and will be an important thing to watch because it is hard for growth to continue to increase when job growth slows down.
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