Economic Release Snapshot: Service Sector Confidence Improves

Each week, we break down the latest U.S. economic reports, including what the results mean for the overall health of the economy. Here, you will find how economists’ forecasts compare with actual results, key takeaways to consider, as well as a list of what’s on tap for the week ahead. 

Reports for the Week of September 6

ISM Services, August (Tuesday)

• Expected/prior ISM Services index: 56.7/55.3
• Actual ISM Manufacturing index: 56.9

Service sector confidence increased by more than expected in August, supported by rising new orders and accelerated business activity during the month.

International trade report, July (Wednesday)

• Expected/prior monthly trade deficit: ‒$70.2 billion/‒$80.9 billion
• Actual monthly trade deficit: ‒$70.6 billion

The trade deficit narrowed notably during the month and now sits at the lowest level since October 2021. The narrowing was driven by a drop in imports and a rise in exports in July.

Upcoming Reports for the Week of September 12

Consumer Price Index (Tuesday)

Headline consumer prices are expected to decline slightly in August; however, on a year-over-year basis, consumer inflation is set to remain high.

Producer Price Index (Wednesday)

As was the case with consumer prices, producer prices are expected to decline modestly in August yet remain high on a year-over-year basis.

Retail sales (Thursday)

Retail sales are set to remain flat for the second consecutive month, due, in part, to lowered spending at the pump due to falling gas prices.

University of Michigan consumer sentiment (Friday)

Consumer sentiment is set to increase modestly in September yet remain below the pandemic-era highs we saw in 2021.