Chris Williamson, Chief Business Economist at S&P Global Market Intelligence, has suggested that the August PMI data for the US service sector indicates rising stagflation risks, as stubborn price pressures accompany near-stagnant business activity. "So far, the PMI data for the third quarter suggests that after a strong second quarter, economic growth is slowing, with manufacturing showing renewed weakness and the state of the service sector worsening." "More and more companies are reporting that consumers are becoming reluctant to spend due to the impact of rising interest rates and living costs. However, financial and business service providers are also increasingly feeling the pressure of weak demand. Meanwhile, the ongoing wage growth, new upward pressures on energy, fuel, and transportation costs, as well as some broader stabilization in material prices, are driving up costs. The growth rate of service sector charges remains high, to the extent that consumer price inflation may stubbornly remain above the Federal Reserve's target in the coming months."