ISM Services printed modestly better than expected but dropped down from last month's 2005 highs. Printing at 58.6 vs 58.5 expectations, the seasonally-adjusted ISM data shows business activity dropping and new orders at 4-mointh lows. Markit Services PMI fell for the 3rd month in a row to its lowest since May but Markit's chief economist sees "good reason to believe growth will pick up once again," from somewhere, despite maunfacturing PMI also fading. The divergence between Markit's and the Government's surveys of the Services industry in America remain large.
ISM Services fell back from its exuberant 2005 highs of last month…
which fits with the weakness in manufacturing PMI this month…
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Markit Services PMI dropped 3 months in a row to lowest since May…
Commenting on the PMI data, Chris Williamson, Chief Economist at Markit said:
"The PMI surveys signalled an easing in the pace of economic growth in September, but there's good reason to believe that growth will be sustained at a robust pace in coming months and could even pick up again."
"A slowing in the pace of service sector growth in September matched a similar easing in the pace of manufacturing output growth seen during the month, suggesting the overall pace of economic expansion dipped to the weakest since May. But the surveys nevertheless still point to the economy growing at an annualized rate of at least 3% in the 3rd quarter."
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The two-faces of the Non-Manufacturing industry in America…
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It's down but we hope it goes up… brilliant
via Zero Hedge http://ift.tt/1pLQrOH Tyler Durden