The ISM Services PMI dropped to 50.1 in July, down from 50.8 in June, well below the expected 51.5. This indicates that the services sector is nearly stagnant.
Data Highlights:
- Business activity and new orders slowed down
- Price pressures increased to 69.9, the highest since October 2022
- Employment index dropped to 46.4, entering contraction territory
- Both exports and imports reversed into contraction zones
- Tariff impacts and weather conditions emerged as major obstacles
Conclusion:
The combination of a weakening services sector and rising price pressures could disrupt market sentiment and influence future Fed policy decisions.
Source: ISM
*DISCLAIMER: All content is informative. PT. Maxco Futures does not guarantee its accuracy and completeness. The company is not responsible for investment losses due to the use of the information contained.
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