Inflationary pressures are intensifying in the US manufacturing sector: The ISM Manufacturing Prices Paid Index surged +6.8 points in September, to 77.9, its highest since May. This also marks its largest monthly increase since February. Year-to-date, the index has soared +19.

Inflationary pressures are intensifying in the US manufacturing sector: The ISM Manufacturing Prices Paid Index surged +6.8 points in September, to 77.9, its highest since May. This also marks its largest monthly increase since February. Year-to-date, the index has soared +19.4 points, its third-biggest 9-month increase since 2021. Meanwhile, the ISM Manufacturing PMI index eased slightly in September by -0.1 point, to 54.5, remaining in expansion for the 9th consecutive month, its longest streak since 2022. Furthermore, new orders rose +1.6 points, to 55.3, also posting their 9th consecutive monthly expansion. And, the backlog of unfilled orders jumped +4.6 points, to 56.4, its 2nd-highest level since May 2022. Manufacturing price pressures are building as elevated demand puts further strain on capacity.