Preview: Due March 4 - U.S. February ISM Services - Other surveys suggest some slowing
We expect February’s ISM services index to slip to 52.5 after two straight months at 53.8. This would still be stronger than each month from March through November of 2025.
It would also be slightly stronger than a February S and P services index of 52.3, that was the weakest since April 2025. Regional Fed services sector surveys from the Philly, Richmond, Dallas and Kansas City Feds, as well as the Empire State, were all weaker and negative in February.
We expect January’s detail to show business activity and deliveries making significant corrections from improved January readings and more modest slowings in new orders and employment to complete the breakdown of the composite.
Prices paid do not contribute to the composite and here we see slowing to 65.0 from 66.6, with negative seasonal adjustments outweighing the impact of firmer energy prices.