The Institute for Supply Management's (ISM) Services Purchasing Managers' Index (PMI) came in at 54.5 for October, just below the 54.8 forecast and down from 54.9 in September. A reading above 50 still points to expansion in the services sector, so the sector kept growing, just at a slightly slower pace than expected.
| Reading | Actual | Forecast | Prior |
|---|---|---|---|
| ISM Services PMI (Oct) | 54.5 | 54.8 | 54.9 |
Source: Economic calendar: the official release, the consensus forecast and the prior reading · as of November 4, 2026 at 10:00 AM ET · Released at 10:00 AM ET on Wednesday, November 4, 2026.
The details
The release's table lists only the headline Services PMI figure for October: 54.5 against a forecast of 54.8 and a prior reading of 54.9. No separate sub-components, month-on-month, or year-on-year breakdowns were included in this release.
In context
No historical series was stored for this measure, so we can only compare the October reading with the prior month. At 54.5, the index came in 0.4 points below September's 54.9, a modest step down but still within expansion territory above the 50 threshold.
How markets took it
By 10:05 AM ET, shortly after the release, the S&P 500 stood at 7,703.91, up 1.78% from the prior close, and the Nasdaq Composite was at 25,982.86, up 2.41%. The 10-year Treasury yield eased to 4.934%, down 0.34% from the prior close. Traders on X described the report as a mixed signal, noting cooler new orders alongside prices that stayed elevated, rather than a clear shift in growth or rate expectations.
| Market | Level | Change |
|---|---|---|
| S&P 500 | 7,703.91 | +1.78% |
| Nasdaq Composite | 25,982.86 | +2.41% |
| 10-year Treasury yield | 4.934% | -0.34% |
Source: Index futures, index and Treasury yield quotes · as of November 4, 2026 at 10:05 AM ET · Read at 10:05 AM ET; change is from the prior close.