ISM Non-Manufacturing Price Component Is Moving in The Right Direction
Source: www.tradingview.com
The US is predominantly a services-based economy. This makes the ISM non-manufacturing data particularly interesting. May's figure was released today, printing at 50.3, down from 51.90 for April. This is a five-month low. When the numerical is above 50, companies are experiencing growth and expansion.
The prices component of the survey came in at 56.2. This is down from 59.6 in April. The Fed is worried that services-based inflation is sticky, and this decline may suggest that this type of inflation is aligning more with target.
The Fed is due to release its next rate statement on 14 June, which is likely to indicate a hold. The next CPI release is on Tuesday, 13 June.
Russell Shor
Senior Market Strategist
Russell Shor is a Senior Market Strategist at FXCM, having been promoted to the role in 2025 in recognition of his depth of insight and consistent delivery of high-impact market analysis. He originally joined FXCM in October 2017 as a Senior Market Specialist.
Russell holds an Honours Degree in Economics from the University of South Africa, is a certified FMVA®, and a full member of the Society of Technical Analysts (UK). With over 20 years of experience in financial markets, his work is renowned for its clarity, precision, and strategic value across asset classes.
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