Monthly values
ISM Services PMI® — the last 3 months
Every month's reading, with the band the heatmap gives it. The chart above shows the same series in full.
| Month | Value | Band |
|---|
| Aug 2026 | 55.4 | Very strong reading |
| Jul 2026 | 54.1 | Healthy reading |
| Jun 2026 | 54.0 | Healthy reading |
Month-end readings of the same series the chart shows, from ism_svc. Values are the current record, not point-in-time: a month that has since been revised shows its revised value.
What is the ISM Svc PMI?
The ISM Services PMI surveys purchasing managers at companies in the service sector — healthcare, finance, retail, hospitality, technology, transportation, and more. Because services account for approximately 80% of US economic activity, the ISM Services PMI is arguably more important than the Manufacturing PMI for assessing the overall health of the US economy.
Like its manufacturing counterpart, readings above 50 indicate that more services companies are reporting expansion than contraction; below 50 means contraction dominates. The Services PMI gained prominence after the 2008 financial crisis revealed that the US economy had fundamentally shifted toward services. During the 2022-2023 period, when manufacturing contracted for 16 months, a resilient Services PMI above 50 helped prevent what many feared would be a recession.
Values on this site are reproduced under an ISM® reprint license, collected forward from the June 2026 report — history here accumulates from that point (no pre-license backfill).
How We Color-Code the ISM Svc PMI
Our heatmap colors each indicator based on historically significant thresholds:
Above 55
Strong services expansion — 80% of economy growing robustly
52 – 55
Solid expansion — services sector growing healthily
50 – 52
Just above the line — modest expansion
48 – 50
Contraction — services sector shrinking, recession risk elevated
Below 48
Sharp contraction — significant recession risk given services dominance
Historical Extremes — What Happened Next?
When this indicator reaches extreme levels, history shows consistent patterns:
ISM Svc PMI: 41.8
The sharpest services collapse ever recorded as restaurants, hotels, airlines, and retail were forced to close. Recovered quickly as reopening proceeded.
ISM Svc PMI: 69.1
The highest ISM Services reading ever recorded — driven by explosive pent-up demand for services as COVID restrictions lifted and consumers spent accumulated savings.
Svc PMI held above 50 while Mfg below 50 for 16 months
Services resilience prevented recession despite manufacturing weakness — demonstrating how services dominance has changed the economic cycle.
Investor Checklist — Current Reading
Based on the current ISM Svc PMI reading of 55.4 (Very Positive):
✓Strong services expansion — most positive economic signal for the broad economy
✓Consumer discretionary, healthcare, financials, and tech all benefit
⚠Strong services may keep inflation elevated — watch CPI and Fed policy
Frequently Asked Questions
Why is the Services PMI more important than Manufacturing PMI?
Services account for approximately 80% of US GDP and employment versus 11% for manufacturing. When the services sector contracts, the economic impact is far larger than equivalent manufacturing weakness. The rise of the services economy has made the ISM Services PMI an increasingly important gauge of overall economic health.
What sectors are included in the ISM Services survey?
The ISM Services survey covers 18 service sectors including accommodation and food services, real estate, professional and business services, healthcare, retail, finance, insurance, transportation, information technology, and government. This broad coverage makes it a comprehensive gauge of non-manufacturing economic activity.
How did the COVID-19 pandemic affect the Services PMI?
COVID had the most dramatic impact on services of any economic event in modern history. The April 2020 Services PMI collapsed to 41.8 as lockdowns shuttered restaurants, hotels, airlines, and retail. The November 2021 reading of 69.1 was the highest ever recorded as pent-up demand for services exploded when restrictions lifted.
Can the economy be in recession if Services PMI stays above 50?
It is very difficult. The 2022-2023 period demonstrated that manufacturing contraction alone (16 consecutive months below 50) was insufficient to cause a recession when services remained in expansion. For a recession to occur, the services sector — which employs 80% of workers — typically needs to contract significantly.
Which sub-index within the Services PMI is most important?
The Business Activity and New Orders sub-indexes are the most forward-looking components. The Employment sub-index is closely watched because services employment is the backbone of the US labor market. The Prices Paid sub-index is important for inflation tracking — services inflation has been stickier than goods inflation in recent years.
What investors are searching about this indicator right now, answered using current news and data.
1Is the services sector still expanding?
The Services PMI® registered 54.1 percent, the 25th consecutive month in expansion territory. A reading above 50 signals expansion; below 50 signals contraction.
2How has the services PMI changed recently?
The ISM Services PMI was essentially unchanged in July 2026, rising just 0.1 point to 54.1 from June. This extends a pattern of stability that has been in place since March.
3When will the next Services PMI reading be released?
The next ISM® Services PMI® Report featuring August 2026 data will be released at 10:00 a.m. ET on Thursday, September 3, 2026.
4What does the current 54.1 reading tell me about the health of the services sector?
The Services PMI® registered 54.1 percent, the 25th consecutive month in expansion territory. A reading above 50 signals expansion; below 50 signals contraction. This indicates sustained but modest growth in the services sector, which represents the majority of U.S. economic output.
5How stable has the Services PMI been recently?
The Institute for Supply Management (ISM) Services Purchasing Managers Index (PMI) was little changed in July 2026, extending a pattern of stability that has been in place since March. The current 54.1 reading shows the index holding relatively steady in the mid-54 range.