The ISM Services PMI fell to 50.0 in September (from 52.0 in August), the first breakeven reading since January 2010, signaling stagnation in the services sector after modest summer growth.

• The Business Activity Index dropped -5.1 pts to 49.9, contracting for the first time since May 2020 as demand weakened.

• New Orders slowed sharply, down -5.6 pts to 50.4, barely holding in expansion after strong August growth.

• Employment remained in contraction at 47.2 (+0.7 pts), marking the fourth straight monthly decline and fifth in the past six months.

• Supplier Deliveries rose +2.3 pts to 52.6, indicating slower deliveries for a 10th straight month, a sign of lingering supply-side challenges.

• The Prices Index edged up to 69.4 (+0.2 pts), extending its streak above 60 to ten months and underscoring persistent cost pressures.

• Inventories slipped into contraction at 47.8 (-5.4 pts), the lowest since January, while Inventory Sentiment rose to 55.7, reflecting continued perceptions of excess stock.

• Backlogs improved to 47.3 (+6.9 pts) but remained in contraction for a seventh straight month, suggesting limited pipeline strength.

• New Export Orders fell further to 46.5 (-0.8 pts), the third consecutive monthly decline, pointing to ongoing weakness in overseas demand.

• Imports dropped back into contraction at 49.2 (-5.4 pts), after briefly expanding in August.