The ISM Services PMI increased to 51.9 in April of 2023 from 51.2 in March, and slightly higher than market expectations of 51.8. It marks a fourth consecutive month of growth in the services sector, prompted by a faster increase in new orders (56.1 vs 52.2), a rebound in new export orders (60.9 vs 43.7) and one of the fastest supplier delivery performance since December 2015 (48.6 vs 45.8) due to ongoing improvements in both capacity and supply logistics.
On the other hand, production rose at the slowest pace since May 2020 (52 vs 55.4) and employment growth also slowed (50.8 vs 51.3). Meanwhile, price pressures were slightly higher (59.6 vs 59.5) and backlog of orders fell less (49.7 vs 48.5). “The majority of respondents are mostly positive about business conditions; however, some respondents are wary of potential headwinds associated with inflation and an economic slowdown”, Anthony Nieves, Chair of the ISM Services Business Survey Committee said. source: Institute for Supply Management