US business activity expanded at its fastest pace in eight months during July. Strong domestic demand for services offset cooling factory production and rising costs. Service providers saw their highest activity levels since November 2025. Manufacturing gauges fell to their lowest point since March. Supply chain delays and price pressures intensified, impacting growth and demand.

S&P Global flash US PMI data for July shows manufacturing at 53.8, services above 53, and composite at an eight-month high of 53.6, signaling

“US businesses reported a good start to the third quarter,"... but prices are on the rise again...