Business activity in US grows at highest rate in 27 months

ISTANBUL

Business activity in the US grew in July at the highest rate in 27 months, global data provider S&P Global said Wednesday in a report.

The US Services Business Activity Index climbed to 56.0 in July, up from 55.3 in June, according to the company's flash estimates.

The index, which measures the activity level in the services sector, also was much higher than expectations of 54.7.

The figure signals "an encouragingly strong start to the third quarter," said the report, adding the service sector expanded in July at the strongest rate since March 2022.

"Average prices charged for goods and services rose at the slowest rate since January, and the second-slowest rate since October 2020," it said.

"While some stubbornness of inflation was still evident in the service sector, prices charged for services rose on average at the slowest rate for almost four years barring only January’s brief dip in the rate of inflation," said the report.