ISM Services PMI Hits 54.5% in October as Prices Stay Above 70%
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TEMPE – November 04, 2026 -- The ISM Services PMI registered 54.5 percent in October, the 28th consecutive month of expansion, while the Prices Index held at 73 percent and the Backlog of Orders Index climbed to 58 percent, its highest reading since July 2022.
The headline figure is down 0.4 percentage point from September's 54.9 percent. It sits 0.2 percentage point above the 12-month average of 54.3 percent. That average has now risen for 10 straight months.
Business Activity and New Orders Cool, While Employment Strengthens
The Business Activity Index fell 2.7 percentage points to 53.8 percent from 56.5 percent. The New Orders Index dropped 3.9 percentage points to 55.9 percent from 59.8 percent. Both readings are below their 12-month averages.