WS Investor
05 Oct 2026, 14:27
U.S. Stocks Mostly Higher as Services Activity Remains Strong but Price Pressures Rise
U.S. stocks traded mostly higher on Monday as services-sector data continued to point to solid economic growth. The S&P 500 gained 0.43% to 7,755.84 and the Nasdaq rose 0.73% to 27,388.08, while the Dow Jones slipped 0.17% to 51,092.08.
The S&P Global Services PMI came in at 58.8 in September, slightly above the 58.7 consensus, while the Composite PMI held at 58.4. Both readings indicate robust expansion in U.S. private-sector activity.
The ISM Non-Manufacturing PMI was somewhat softer, declining to 54.9 from 55.4 and missing expectations of 55.1. However, the employment component improved to 50.1 from 47.8, moving back into expansion territory and signaling better hiring conditions within the services sector.
Inflation pressures were the main concern. The ISM Non-Manufacturing Prices Index climbed to 74.0 from 72.6, indicating that service-sector input costs remain elevated.
The market reaction suggests investors are balancing resilient economic growth against persistent inflation pressures. Strong activity is supportive for earnings expectations, particularly for growth stocks, but the rise in the prices index could limit expectations for aggressive Federal Reserve rate cuts.
U.S. stocks traded mostly higher on Monday as services-sector data continued to point to solid economic growth. The S&P 500 gained 0.43% to 7,755.84 and the Nasdaq rose 0.73% to 27,388.08, while the Dow Jones slipped 0.17% to 51,092.08.
The S&P Global Services PMI came in at 58.8 in September, slightly above the 58.7 consensus, while the Composite PMI held at 58.4. Both readings indicate robust expansion in U.S. private-sector activity.
The ISM Non-Manufacturing PMI was somewhat softer, declining to 54.9 from 55.4 and missing expectations of 55.1. However, the employment component improved to 50.1 from 47.8, moving back into expansion territory and signaling better hiring conditions within the services sector.
Inflation pressures were the main concern. The ISM Non-Manufacturing Prices Index climbed to 74.0 from 72.6, indicating that service-sector input costs remain elevated.
The market reaction suggests investors are balancing resilient economic growth against persistent inflation pressures. Strong activity is supportive for earnings expectations, particularly for growth stocks, but the rise in the prices index could limit expectations for aggressive Federal Reserve rate cuts.
