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16.12.202514:51:01UTC+00US Service Sector Expansion Slows to Six-Month Low

The S&P Global US Services PMI declined to 52.9 in December 2025, down from 54.1 in November, falling short of the market expectation of 54, as per the preliminary estimates. This figure represents the most sluggish expansion rate since June 2025, indicating a deceleration in the service sector's growth. Growth in new business reached a 20-month low during December, highlighting diminished demand, notably in the lead-up to the holiday period. Furthermore, employment in the sector saw minimal improvement, marking the smallest increase in payrolls since April 2025. Input costs surged at their fastest rate in over three years, while the prices charged escalated at the most rapid pace since August 2022, mainly due to the impact of tariffs and increasing labor expenses. Looking forward, business sentiment slightly weakened, reflecting concerns over demand and pricing pressures.

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