US ISM Non-Manufacturing: Growth eases but still solid - Wells Fargo

According to analysts from Wells Fargo, the ISM non-manufacturing index signaled broad activity slowed in July, but that the economy continues to expand at a decent pace.

Key Quotes: 

“Like its manufacturing counterpart, the ISM non-manufacturing index indicated activity cooled in July. The index slipped more than three points but, at 55.7, remains well within expansion territory. Comments continued to sound a fairly upbeat tone that suggests growth remains solid.”

“Employment was one of the few sub-indices to improve in July. While that looks inconsistent with the slowdown in hiring reported earlier today in the employment report, the index has generally weakened since the spring.”

“Costs picked up and remain a hotbed issue. Tariff-related price concerns extend beyond the factory sector, with comments from the public administration, mining, retail and wholesale sectors.”