SERVICES INFLATION HITS FOUR-YEAR HIGH AS GROWTH COOLS

The ISM Services PMI slipped to 54.9% in September, down from August, while the Prices Index jumped to 74.0%, the highest level since July 2022. All 17 service industries tracked by ISM reported rising input costs and none reported a decline, even as activity growth cools. That split is a stagflation signal that leaves Treasury bonds ($IEF) caught between a growth number that argues for Fed cuts and a price number that argues against them.