Services PMI 55.6

  • prior 57.4

more to come

Commentary from the report:

  • “Australia’s service sector continued to expand strongly in March, according to the S&P Global Australia Services PMI. That said, the pace of growth eased amid the negative effects from recent domestic floodings, the Ukraine war and lingering COVID-19 disruptions.
  • “Specifically, price pressures mounted for service providers with input costs rising at a survey record rate, which translated to higher selling prices for clients. Firms widely cited rising fuel costs, aggravated by the Ukraine crisis, weighing on their operations. The heightened price pressures began to weigh on business sentiment, amid some concerns that rising prices may lead to higher borrowing costs.
  • “One positive sign had been the improvement in hiring activities in March, although signs of manpower constraints persisted which could add to wage pressures.”

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I'm not sure of the "one positive sign". The PMI is deep in expansion, that's a positive too!