Overview

• July PMIs show rapid expansion in Asia with India’s services index at 60.5, Japan’s at 53.6 and China’s at 52.6, while Spain reached 55.1, Italy hit 52.3 and Germany returned to marginal growth at 50.6
• France’s services PMI fell to 48.5, marking its quickest contraction since April, and U.S. non-manufacturing activity flatlined at 50.1 under rising tariff uncertainty
• Employment trends weakened across several markets as Japan’s service hiring stalled after 21 months of growth, India’s hiring dropped to a 15-month low and German staffing gains slowed
• Input and output price pressures varied sharply with Japan and Germany recording their slowest inflation in over a year while India and China faced intensified cost pressures
• Recent trade deals and truce extensions between the U.S., China and Japan are reshaping export orders and business confidence in key service economies