06-08-2025
- Business
- Wall Street Journal
Heard on the Street Tuesday Recap: Stagflation Watch
A worrying economic signal spooked investors. The ISM services purchasing managers index fell to 50.1 in July, barely staying in expansionary territory. The employment subindex fell to 46.4. However, the prices subindex surged to 69.9, its highest reading since October 2022, raising fears of stagflation.
Stocks fell in response. The Dow Jones Industrial Average fell 61.9 points, or 0.1%. The S&P 500 and Nasdaq Composite declined 0.4% and 0.7% respectively.
