Here comes Markit services PMI ...
Our latest reading on the US services sector comes with two reports this morning.
Markit's services purchasing manager's index came in better than expected, at 54.8 for October. Economists had estimated a print of 54.5 for October according to Bloomberg.
However, overall service-sector activity growth slowed to a four-month low. The report said that weaker client demand reduced growth expectations for the next year, and companies became more cautious about hiring.
Service-sector employment rose at the slowest pace since February.
At 10:00 a.m. ET, ISM's non-manufacturing PMI is due, and forecast at 56.5.
Here's UBS' Sam Coffin's preview to clients: "With financial market strains fading, we project a partial rebound in the nonmanufacturing ISM in October. Low jobless claims and continued momentum in housing markets also help. More generally, the continued high levels of the nonmanufacturing ISM suggest that factory weakness is not spreading too dangerously into the rest of the economy. Our all-economy ISM continues to signal solid momentum in broad growth."