US ISM Non-Manufacturing index dropped to 56.9 in August, down from July’s 58.1, slightly below expectation of 57.1. Looking at some details, production dropped -4.8 to 62.4. New orders dropped -10.9 to 56.8. Prices rose 6.6 to 64.2. Employment rose 5.8 to 47.9, but stayed in contraction.
“Respondents’ comments are mostly optimistic and industry specific about business conditions and the economy as businesses are starting to reopen. Industries that have not reopened remain concerned about the ongoing uncertainty. There is a challenge with capacity and logistics due to the pandemic and the impact on deliveries and order fulfillment,” says Anthony Nieves, Chair of ISM Services Business Survey Committee.
