A miss vs expectations for both.......>

US DATA REACT: A miss vs expectations for both Manufacturing and Services July

flash PMIs (the Svcs miss is perhaps more glaring, with a sub-50 reading). 

- Despite a stabilization of private sector activity at the start of Q3, "growth

was impeded by an increased rate of decline of new orders, linked in part to

renewed [COVID-19] containment measures", per the IHS Markit release.

- Unsurprisingly, the 2nd round of COVID lockdowns weighing on services more

than manufacturing: "Service sector firms registered a faster decline in new

orders in July. In contrast, manufacturing firms signalled the strongest

expansion in new orders since January."

- The report also cites an increase in hiring after 4 straight months of

job-shedding, and intensifying inflationary pressures (including both output and

output charges which rose at the sharpest rate since Oct 2018).