US ISM Services PMI Actual 54 (Forecast 54, Previous 54.5)

The US services sector saw continued expansion in June, with Institute for Supply Management data showing a slower growth rate sequentially, while S&P Global (SPGI) pointed to an acceleration. The ISM's purchasing managers' index fell to 54 last month from 54.5 in May. The consensus was for a 54 print in a survey compiled. A reading above 50 indicates the services sector economy is generally expanding. The business activity index fell to 55.4 in June from 57.7 the month before, while the gauge for new orders dropped to 55.1 from 57.3. The employment measure increased to 51.2 from 47.9, marking the first expansion in four months. The prices index decreased to 67.7 from 71.3, the first sub-70 reading since February, according to the ISM survey. "Some respondents reported reduced prices paid for gasoline and diesel, but this was not seen across the board," Steve Miller, chair of the ISM's services business survey committee, said Monday. "Petroleum-related products were mentioned again as a commodity up in price, something that we expect to see for several months as higher oil prices work their way through the supply chain, but they should ease off in the fall.