📉 The US services engine is sputtering at the worst possible time.

The ISM Services PMI slipped to 54.0, the employment index plunged to 45.2 - its first contraction since late 2022 - while the prices paid gauge jumped to 70.7.

We’re now seeing slowing jobs growth and accelerating costs, a classic stagflation cocktail.

Investors should watch this divergence closely as it could force the Fed to stay hawkish even as growth cools.