U. S. PMI Falls to 11-Month Low Amid War Uncertainty

By:UA Finance

March 25, 2026

On Wednesday, March 25, 2026, the US business activity slowed sharply in March to its lowest level in 11 months, according to the latest S&P Global PMI survey, as geopolitical tensions linked to the Iran conflict and rising uncertainty weighed on demand.

U.S. Economic Activity Shows 11-Month Low

S&P Global's fresh data reveals that US business activity growth weakened significantly, hitting an 11-month low as the services sector cooled and manufacturing remained under pressure. The war in Iran heightened uncertainty, which came with the downturn, raising input costs and softening demand trends. A question arose about the recovery's reliance on the loss of momentum, signaling risk to near-term growth, even as the economy continues to expand.

US Business Activity Trend Snapshot

Indicator	Previous Months	March 2026 Reading
PMI Level	Stronger Expansion Trend	11-month Low
Service Sector	Keu Growth Driver	Noticeable Slowdown
Manufacturing	Weak but Stabilizing	Still Under Pressure
New Orders	Steady Demand	Slowing Demand Growth
Business Confidence	Moderately Positive	Declining Sentiment
Cost Pressures	Elevated	Still Persistent

What Comes Next for the US Economy

Economic reliance is being tested by cost pressures and geopolitical tensions amid slowing business activity. While growth continues, momentum loss shapes market expectations and policy decisions in the months ahead.