Economic Buzz: Australia Services Sector PMI At 50.2 In August

5 Sep 2022 , 01:59 PM

The services sector in Australia continued to expand in August, albeit at a slower pace, the latest survey from S&P Global revealed with a services PMI score of 50.2. Thats down from 50.9 in July, although it remains above the boom-or-bust line of 50 that separates expansion from contraction. The overall health of Australias service sector improved for a seventh consecutive month in August, but at a rate that was the slowest in the current positive sequence. A further softening in business activity growth was recorded in August as overall demand levels expanded only marginally. The survey also showed that the composite index fell to 50.2 in August from 51.1 in July. Despite signaling a seventh consecutive month of improvement in Australias private sector economy, the rate of growth was the slowest in the current positive sequence and was only fractional. Firms who registered lower output levels frequently mentioned that recent interest rate hikes and current inflationary pressures were weighing on demand.Powered by Commodity Insights