US Services Sector Defies Expectations with 24th Straight Month of Growth

The US services sector refused to slow down in July, according to the Institute for Supply Management's Services PMI report. The index rose to 54.1, a slight increase from June's 54.0, but below the estimated range of 54.2 to 54.5.

This marks the 24th consecutive month that the services sector has been in expansion territory, accounting for nearly 90% of the US economy. The fact that it remains above 50 signals growth and stability.

Steve Miller, chair of the ISM Services Business Survey Committee, noted a shift in sentiment among respondents. Despite ongoing concerns about tariffs and the Middle East conflict, these issues were mentioned less frequently than in previous reports. The World Cup was again cited as a factor affecting businesses.

The declining frequency of tariff-related concerns suggests that companies have adapted to existing structures or see diminishing risk of escalation. This could be positive for the broader economy, but also has implications for cryptocurrencies like Bitcoin, which often benefit from trade policy uncertainty.