US Economic Activity Dips in April

The preliminary report from S&P Global on Wednesday highlighted a concerning slowdown in the US private sector activity for April. The PMI Composite Output Index, a key indicator combining both services and manufacturing sectors, fell to 51.2 from March's 53.5, marking a 16-month low.

Sector-Specific Performance

The Flash US Services Business Activity Index experienced a decline, dropping to 51.4 in April from 54.4 in March. On a slightly positive note, the manufacturing PMI showed improvement, rising to 50.2 in April from 48.6 in the previous month.

Growing Concerns Over Future Business Conditions

"Business confidence for the upcoming year has significantly weakened," stated Chris Williamson, Chief Business Economist at S&P Global Market Intelligence. He attributed this downturn to increasing apprehensions among both manufacturers and service providers regarding the potential impacts of recent government policy announcements.