Stock market today: Dow, S&P 500, Nasdaq waver as Wall Street eyes earnings, trade tensions

Activity in the services continued to expand during the month of July, according to two data releases on Tuesday morning.

The Institute for Supply Management’s (ISM) services PMI registered a reading of 50.1 in July, down from June’s reading of 50.8, and below the 51.5 economists surveyed by Bloomberg had expected. Readings above 50 for this index indicate an expansion in activity, while readings below 50 indicate contraction. The manufacturing sector has been in contraction for most of the past two years.

“July’s PMI level continues to reflect slow growth, and survey respondents indicated that seasonal and weather factors had negative impacts on business,” Steve Miller, the chair of the Institute for Supply Management Services Business Survey committee, said in the release. “The most common topic among survey panelists remained tariff-related impacts, with a noticeable increase in commodities listed as up in price.”

Elsewhere on Tuesday, S&P Global’s composite PMI, which combines both activity in the services and manufacturing sectors, registered a reading of 55.1 in July, up from 52.9 the month prior.

S&P Global chief business economist Chris Williamson said the data signals “encouragingly robust economic growth at the start of the third quarter.” Williamson added that the July PMI data points to the US economy growing at a 2.5% annualized pace in the third quarter, above the 1.25% pace seen in the first half.