The latest S&P Global United States (US) Services Purchasers Managers Index (PMI) shows that America’s service sector remains firmly in expansionary territory.

The index rose to 54.8 points in October, up from 54.2 in September. A reading above 50 signals growth in the sector, marking the 33rd consecutive month of expansion and underscoring the resilience of the US economy.

However, the business confidence subindex slipped to a six-month low amid ongoing economic and political uncertainty. Export demand weakened again, falling for the sixth time in seven months as tariffs and policy headwinds continued to weigh on international sales.

Despite tariff pressures, overall cost inflation eased to a six-month low, while strong competition kept selling price inflation at its lowest level since April.

Bheki Mahlobo, Economics and Policy Editor at The Common Sense said: “The services industry in the US accounts for two-thirds of national GDP. The positive PMI reading in October indicates continued economic momentum in the fourth quarter of 2025.”