FXStreet (Mumbai) – The preliminary Markit US services PMI for July printed at 55.2, beating the estimated rise to 55.00, from the five-month low of 54.8 seen in June.
The growth of new work picked up to a three-month high leading to a rate of of staff hiring, which was faster than the average seen over this period. The rate of input price inflation eased from June’s 20-month high. Prices charged by service providers also increased at a slower pace in July.
As per Chris Williamson, chief economist at Markit, “Signs of faster growth in the service sector at the start of the third quarter add to the likelihood of the FOMC moving closer to hiking interest rates for the first time in over six years. The PMIs also suggest that first quarter GDP growth will be revised to show a stronger start to the year than previously thought, adding to the upbeat tone of the economy’s performance so far this year.”
(Market News Provided by FXstreet)