The USA's service sector is expanding at its fastest pace since October 2021, providing momentum for the economy at a time when the manufacturing sector is experiencing a sharper decline. S&P Global reported the initial value of the December USA Services Operation Index at 58.5, up from 56.1 in November. A reading above 50 indicates expansion in industry activity. The comprehensive indicator measuring future output jumped 3.3 points to 71.7, the highest level since May 2022. Data shows that economic divergence is intensifying, with steady growth in the service sector while manufacturing continues to worsen. Concerns over potential tariffs under the Trump administration have accelerated input price increases, and the contraction rate of manufacturing output and orders has quickened.