The headline PMI dipped to a 15-month low amid a weaker rise in new business and the joint-softest expansion in output since September 2017. At the same time, the pace of job creation eased to an 18-month low, despite a further rise in backlogs. Notably, business confidence among manufacturers fell again in December, with the degree of optimism dipping to the lowest since October 2016. Meanwhile, inflationary pressures eased at the end of 2018.

The seasonally adjusted IHS Markit final U.S. Manufacturing PMI posted 53.8 in December, down from 55.3 in November. The latest headline figure suggested a weaker, but still strong, improvement in operating conditions across the goods producting sector.