The ISM Non-Manufacturing PMI (services) ticked up from 53.5 to 53.7, within expectations. These stood on basically no change from last month’s 53.5 points.
A score above 50 means growth, and this continues once again. EUR/USD is ticking up and so is USD/JPY – very mild risk appetite.
The more worrying part of the report comes from the employment component – it fell from 54.2 to 50.8 points – hardly growing. This usually gives good guidance for the Non-Farm Payrolls. This time, NFP was released prior to this indicator, but we can see that they are certainly correlated.
New orders increased to 55.5 points and the prices component slid to 49.8 points – pointing to lower prices.
The vast majority of the US economy is in the services sector. The ISM Manufacturing PMI dipped to 53.5 points (reported last week).
