Start trading now on Poste Italiane

U.S. services sector activity unexpectedly accelerates in August – ISM


— The U.S. services sector unexpectedly accelerated in August, while prices for inputs jumped, in a sign of resilient demand that may contribute to stickier inflation in the world’s largest economy.

The Institute for Supply Management said on Wednesday that its increased to 54.5 during the month, up from 52.7 in July. Economists had expected the figure, which was above the 50-point threshold denoting expansion, to come in at 52.5.

The figure serves as an indicator of activity in the services industry, a crucial sector that accounts for over two-thirds of the U.S. economy. At current levels, it hints at U.S. economic strength in the face of an unprecedented spike in interest rates since March 2022.

A gauge of received by services business edged up to 57.5 last month from 55.0 in July, while a measure of by these companies for inputs also rose to 58.9 from 56.8.

Fed officials will likely be keeping an eye on the movement in service sector prices. These are typically less responsive to rate hikes, but still play a crucial role in the central bank’s fight to cool inflation down to its 2% target.

Previous Post
China warns against ‘new Cold War’ at ASEAN summit
Next Post
Italian government to meet supermarkets, small retailers to address high prices

Leave a Reply

Your email address will not be published. Required fields are marked *

Fill out this field
Fill out this field
Please enter a valid email address.
You need to agree with the terms to proceed

Invest on crypto with Gianluca Vacchi project and start making money now
Win money trading on Amazon