Is the Services Economy Still Holding the Line for the Fed?

The June S&P Global Services PMI came in at 51.2, topping the 51.0 consensus and the prior reading of 50.7, offering a modest signal that the U.S. services sector is still expanding — but barely. S&P 500 futures were off roughly 0.3% ahead of the 9:30 AM open, weighed by Monday’s tech-led selloff, while the 10-year Treasury yield held steady near 4.52%. The Richmond Fed Manufacturing Index, due at 10:00 AM ET, is the next test, with traders watching whether industrial weakness deepens the cautious tone set by this morning’s data.