Analysis: Preliminary PMI data shows that the recent economic growth momentum in the United States is weakening.

Chris Williamson, chief business economist at S&P Global Market Intelligence, said the preliminary December PMI data showed that recent economic growth is losing momentum. Although survey data showed that fourth-quarter GDP growth was around 2.5% on an annualized basis, growth has now slowed for two consecutive months. With new sales growth slowing sharply ahead of the holiday season, economic activity is likely to slow further into 2026. Signs of economic weakness are also widespread, with a massive influx of new orders in the service sector nearly stalled, while factory orders saw their first decline in nearly a year. While manufacturers continue to report output growth, declining sales suggest that current production levels are unsustainable and output reductions will be necessary unless demand recovers in the new year. Service providers reported that December's sales growth was one of the slowest since 2023. (Jinshi)