US: Markit Services PMI edges lower to 54.6 (final) in September as expected

• Markit Services PMI in US stayed comfortably above 50 in September.
• US Dollar Index stays deep in the red below 93.50 after the data.

The IHS Markit's Services Purchasing Managers' Index (PMI) for the US improved edged lower to 54.6 in September from 55 in August but showed that the economic activity in the service sector continued to expand at a robust pace. This reading matched the previous estimate and the market expectation.

Further details of the publication revealed that the Composite PMI fell from 54.6 in August to 54.3 in September. 

Commenting on the data, “the US economy continued to rebound in September from the deep contraction seen at the height of the Covid-19 pandemic, with business activity rising across both manufacturing and services to round off the strongest quarter since early-2019," said Chris Williamson, Chief Business Economist at the IHS Markit. "Covid-19 worries and social distancing continued to impact many businesses, however, especially in consumer-facing sectors, where demand for services fell once again." 

Market reaction

The US Dollar Index continued to push lower after this data and was last seen losing 0.42% on a daily basis at 93.41.