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US Business Activity Plummets, Inflation Surges

Published 1 week ago
Description

U.S. business activity plummets to 11-month low in March, driven by Middle East conflicts impact on energy and input costs. Services sector takes the brunt, while manufacturing climbs due to easing tariff pressures. Input prices surge, signaling potential consumer inflation of around 4%. Private-sector employment contracts for the first time in 13 months as companies cut back amid uncertainty. Federal Reserve maintains steady interest rates, anticipating higher inflation with only one rate cut planned this year.

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