Markit Services PMI rose to 37.5 (final) in May from 36.9 expected

• Markit Services’ PMI in the United States rebounds from record lows in April.
• The US dollar index remains below 97.50 after the data.

The IHS Markit’s Services Purchasing Managers’ Index (PMI) for the United States rose to 37.5 in May final reading from its all-time low of 26.7 in April. This reading is better than market expectations and the previous estimate of 36.9.

Additional details on the report revealed that the composite PMI had improved to 37 from 27.

Commenting on the data, “PMI figures indicate that the US economy remained in a deep recession in May,” said Chris Williamson, chief economist at IHS Markit. “It is encouraging to see that the rate of contraction has eased considerably since the peak of the shutdown in April, as some companies resume work and economic activity begins again.”

Market reaction

The US dollar index fell slightly after this data and was last seen losing 0.2% on the day to 97.47.