The performance of the US manufacturing economy improved again in February, but the pace of growth eased to the weakest in seven months. Both output and new orders rose at slower rates, in part due to extreme weather but also due to tariffs impacting international trade. Tariffs also underpinned another round of steep cost inflation, albeit at a level that remained lower than peaks recorded in 2025. Selling price inflation fell to a 14-month low as competition limited the pass through of costs to clients. Employment growth meanwhile was muted in February, whilst supply constraints were more widespread. However, ... (full story)