US: Markit Services PMI edged lower to 59.9 in July from 64.6
- Markit Services PMI in US retreated slightly in July.
- US Dollar Index stays in the negative territory below 92.00.
The economic activity in the US services sector continued to expand in July, albeit at a softer pace than it did in June, with the Markit Services PMI declining to 59.9 (final) from 64.6. Further details of the publication showed that the Composite PMI edged lower to 59.9 from 63.7 in June.
Commenting on the data, "the pace of US economic growth cooled in July, according to the final PMI data, but remained impressively strong to suggest that GDP will rise robustly again in the third quarter," said Chris Williamson, Chief Business Economist at IHS Markit.
“With the survey once again bringing signs that capacity is being constrained by a lack of raw materials and labour, inflationary pressures look set to persist in the coming months," Williamson added. "Though it is encouraging to note that the overall rate of increase of selling prices for goods and services continued to moderate from May’s recent peak."
Market reaction
The US Dollar Index showed no immediate reaction to this report and was last seen losing 0.23% on the day at 91.86.