- Analytics
- News and Tools
- Market News
- Breaking: US S&P Services PMI drops to 47 in July vs. 52.6 expected
Breaking: US S&P Services PMI drops to 47 in July vs. 52.6 expected
Business activity in the US service sector contracted in early July with S&P Global Services PMI dropping to 47 from 52.7 in June. This reading came in much weaker than the market expectation of 52.6.
Further details of the publication revealed that the Manufacturing PMI edged lower to 52.3 from 52.7 and the Composite PMI slumped to 47.5 from 52.3.
Commenting on the data, "the preliminary PMI data for July point to a worrying deterioration in the economy," said Chris Williamson, Chief Business Economist at S&P Global Market Intelligence.
"Excluding pandemic lockdown months, output is falling at a rate not seen since 2009 amid the global financial crisis, with the survey data indicative of GDP falling at an annualised rate of approximately 1%," Williamson further elaborated. "Manufacturing has stalled and the service sector’s rebound from the pandemic has gone into reverse, as the tailwind of pent-up demand has been overcome by the rising cost of living, higher interest rates and growing gloom about the economic outlook."
Market reaction
The dollar came under strong selling pressure after this report and the US Dollar Index was last seen losing 0.3% on the day at 106.30.
© 2000-2024. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.
Bank transfers
