Services Sector Expansion

In a promising sign for the Australian economy, the services sector experienced notable growth in July. The Services Purchasing Managers' Index (PMI) Business Activity Index climbed from 51.8 in June to 53.8, as reported by S&P Global.

Composite PMI Adjusts

The Composite PMI, reflecting the combined performance of both services and manufacturing sectors, adjusted from June's 61.6 to 53.6 in July. This shift indicates a broader economic trend beyond the services sector alone.

Expert Insights

"The start of the third quarter in 2025 has been marked by accelerated business activity growth," noted Jingyi Pan, Economics Associate Director at S&P Global Market Intelligence. "This improvement was widespread, with the service sector leading the charge and manufacturing production showing a renewed expansion." Pan also highlighted the significant rise in manufacturing new orders, which reached one of the fastest paces in over two and a half years.