US Services PMI Holds at 54.9 in September as Prices Hit 74.0
Updated
Updated · PR Newswire · Oct 5
US Services PMI Holds at 54.9 in September as Prices Hit 74.0
3 articles · Updated · PR Newswire · Oct 5
Summary
The ISM services index registered 54.9 in September, down 0.5 point from August but still signaling a 27th straight month of expansion and an economy that ISM says remains on track for annualized GDP growth of about 2.1%.
New orders stayed strong at 59.8 and business activity remained elevated at 56.5, while employment returned to slight expansion at 50.1 after two months of contraction, which ISM linked to rising backlogs and solid demand.
Prices paid climbed to 74.0—the highest since July 2022—while supplier deliveries slowed to 53.2, with respondents citing fuel costs, tariffs and supply-chain constraints as the main pressures on costs and lead times.
Backlogs rose to 56.6, their highest since July 2022, but new export orders fell into contraction at 46.9 for the first time in eight months, suggesting domestic demand is still carrying the sector more than overseas business.