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US service sector growth cools, new orders see largest drop in three years

US service sector growth cools, new orders see largest drop in three years

金十金十2026/05/05 14:08
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Golden Ten Data, May 5 — According to a survey by the US Institute for Supply Management (ISM), the expansion of the US services sector slowed for the second consecutive month in April, impacted by the largest drop in new orders in three years and sustained cost pressures at their highest levels since late 2022. The ISM Non-Manufacturing PMI for April fell from 54.0 in March to 53.6, slightly below the expected 53.7. While the business activity sub-index in the survey actually rose by 2 points to 55.9, other components performed more weakly. The new orders index dropped from 60.6 in March—its highest in three years—down to 53.5, a decrease of 7.1 points and the largest decline since March 2023. Meanwhile, cost pressures remained unrelieved; the prices paid index held steady at 70.7, the highest since October 2022. The war in Iran not only pushed up energy prices but also triggered supply chain bottlenecks, lengthening delivery times for key commercial materials. According to data from the American Automobile Association, motor fuel prices have risen to their highest level since summer 2022. The ISM supplier deliveries index (which rises as delivery times lengthen) increased from 56.2 in March to 56.8, its highest since July 2022.
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