US Services Activity Surge to 5-Year High: S&P Global

2026-09-23 13:56 By Andre Joaquim 1 min. read

The S&P Global US Services PMI rose to 58.7 in September of 2026 from 56.5 in the previous month, well above the market consensus of 56 to reflect the strongest expansion in services activity in over five years.

New orders rose the most in over four years, underpinned by strong demand from domestic consumers, enough to offset lower export orders as unpredictable tariff policy shunned a group of international clients.

The jump in business demand drove work backlogs to continue accumulating.

Likewise, the need for higher capacity lifted employment growth to its highest since June 2022, not far from a survey record.

This was despite input cost inflation hitting its highest in nearly four years, with the war in Iran prompting fuel and transportation costs to surge.

Consequently, output charges also rose.

Looking ahead, business confidence remained below trend due to cost-of-living concerns.



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US Services Activity Surge to 5-Year High: S&P Global
The S&P Global US Services PMI rose to 58.7 in September of 2026 from 56.5 in the previous month, well above the market consensus of 56 to reflect the strongest expansion in services activity in over five years. New orders rose the most in over four years, underpinned by strong demand from domestic consumers, enough to offset lower export orders as unpredictable tariff policy shunned a group of international clients. The jump in business demand drove work backlogs to continue accumulating. Likewise, the need for higher capacity lifted employment growth to its highest since June 2022, not far from a survey record. This was despite input cost inflation hitting its highest in nearly four years, with the war in Iran prompting fuel and transportation costs to surge. Consequently, output charges also rose. Looking ahead, business confidence remained below trend due to cost-of-living concerns.
2026-09-23
US Services Activity Holds Growth: S&P Global
The S&P Global US Services PMI rose to 56.5 in August of 2026 from 54.6 in July, revised lower from the flash estimate of 56.8 but remaining well above the initial market expectations of 54. It marked the sharpest expansion in private activity since December of 2020, reflecting resilience from the sector since the war in Iran triggered a surge in energy prices that lifted borrowing costs for companies. New business rose the most in over 20 months, with panelists citing new customer wins and higher export orders. With that, capacity pressures remained present and backlogs were built the fastest in three years. Consequently, firms increased employment at the highest rate in 18 months. Meanwhile, input cost inflation held above the historical trend, driving selling charges to rise and keep margins. Finally, business expectations remained positive despite remaining below trend.
2026-09-03
US Services Activity Rises Most in 20 Months
The S&P Global US Services PMI rose to 56.8 in August of 2026 from 54.6 in the previous month, well above market expectations of a drop to 54, to reflect the sharpest expansion in services activity since December 2024. New business wins expanded sharply in the sector, fast enough to expand backlogs for firms as clients made up for the decline in orders after the outbreak of war in the Middle East dampened demand in the second quarter of the year. Consistently, staffing levels were firmly higher. Meanwhile, input costs continued to rise at a marked pace, although inflation eased a bit from the 14-month high in July. Despite this, average output charge inflation softened to a six-month low. Looking ahead, confidence improved for a third month.
2026-08-21