ISM Services PMI Eased in March

US ISM SERVICES PMI 62.7 APR VS 63.7 MAR

US ISM SERVICES BUSINESS INDEX 62.7 APR VS 69.4 MAR

US ISM SERVICES EMPLOYMENT INDEX 58.8 APR VS 57.2 MAR

US ISM SERVICES NEW ORDERS 63.2 APR VS 67.2 MAR

US ISM SERVICES SUPPLIER DELIVERIES 66.1 APR VS 61.0 MAR (NSA)

The ISM Services PMI eased 1pt to 62.7 in April, after hitting a record high in Mar and coming in lower than markets expected (BBG: 64.2). Among the main four indicators, Business Activity saw the largest drop of 6.7pt to 62.7, following a sharp uptick in the previous month. While New Orders declined by 4pt to 63.2, Supplier Deliveries rose 5.1pt to 66.1 in Apr, hitting the highest level since May 2020. Among the other indicators, Inventory Sentiment recorded the largest drop, down 5.9pt to 46.8, shifting back to contraction territory after two consecutive months above the 50-mark. While Inventories decreased by 4.9pt to 49.1, its lowest level since Sep 2020, Order Backlogs increased 5.5pt to an 8-month high of 55.7. Meanwhile, imports gained 5pt to 55.7 and exports rose 3.1pt to 58.6. Prices rose by 2.8pt to 76.8, which is the highest level since Jul 2008.