US February Services PMI Preliminary Reading at 49.7... Below Market Expectations

The US February Services Purchasing Managers' Index (PMI) came in below market expectations.

According to the PMI report released by S&P Global on the 21st (local time), the US February Services Purchasing Managers' Index (preliminary) was 49.7, falling below market expectations (53). The Services PMI figure announced this time recorded lower than the previous month (52.9), suggesting that the overheating in US service sector conditions is cooling down.

Meanwhile, the Manufacturing PMI preliminary reading announced on the same day recorded 51.6, slightly above market expectations (51.3).

PMI uses 50 as a baseline to gauge whether the service sector is expanding or contracting.

The PMI preliminary reading, which is released before the final PMI figures at the end of the month, serves as an indicator for quickly assessing economic conditions.