US ISM Services PMI edges higher to 51.5 in August vs. 51.1 expected
The economic activity in the US service sector expanded at a moderate pace in August, with the ISM Services PMI edging higher to 51.5 from 51.4 in July. This reading came in above the market expectation of 51.1.
Other details of the report showed that the Prices Paid Index, the inflation component, rose to 57.3 from 57, while the Employment Index declined to 50.2 from 51.1.
Assessing the survey's findings, "low-to-moderate growth was cited across many industries, while ongoing high costs and interest-rate pressures were often mentioned as negatively impacting business performance and driving softness in sales and traffic," said Steve Miller, Chair of the Institute for Supply Management (ISM) Services Business Survey Committee.
Market reaction
The US Dollar Index recovered modestly with the immediate reaction to the PMI data and was last seen flat on the day at 101.24.
Source: Fxstreet
