Economic Buzz: US Services Sector PMI Rises To 56.7 In July

4 Aug 2022 , 08:42 AM

A report released by the Institute for Supply Management on Wednesday showed an unexpected acceleration in the pace of growth in U.S. services sector activity in the month of July. Services PMI rose to 56.7 in July from 55.3 in June, with a reading above 50 indicating growth in the sector. The report showed the business activity index shot up to 59.9 in July from 56.1 in June, while the new orders index jumped to 59.9 from 55.6. The employment index also rose to 49.1 in July from 47.4 in June, although the reading below 50 indicates employment in the services sector contracted for the second consecutive month. On the inflation front, the ISM said the prices index decreased for the third consecutive month, tumbling to 72.3 in July from 80.1 in June. The report also showed the inventories index fell to 45.0 in July from 47.5 in June, as services businesses continue to struggle to replenish inventories.Powered by Commodity Insights