Economics
U.S. Business Gauge Tumbles to Lowest Since 2013 on Virus
- IHS Markit composite PMI falls by 3.7 points to 49.6
- Service gauge slumps amid disruptions to travel, tourism
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U.S. business activity shrank in February for the first time since 2013 as the coronavirus hit supply chains and made firms hesitant to place orders, a warning sign that the outbreak is starting to dent the world’s largest economy.
The IHS Markit purchasing managers’ index measuring composite output at factories and service providers fell by 3.7 points to 49.6, the lowest level since October 2013, when the U.S. government shut down, according to preliminary figures released Friday. Readings below 50 indicate contraction.