ISM Chair Steve Miller Speaks On ISM Report for April 2026

Report Highlights:

• Expansion Trends: The Services PMI recorded a solid 53.6. While slightly down from the previous month’s 54, it marks a period where 14 of 18 services industries are reporting growth—the highest expansion level seen in two years.
• Inflationary Pressures: A major “danger flag” identified is the Prices Paid Index, which remains high at 70.7. This historically elevated level typically correlates with inflation rates exceeding 5%.
• Energy and Geopolitics: The team discusses the impact of the Iran war and low oil inventories on petroleum costs, noting that “opportunistic pricing” in gasoline and diesel has been felt almost immediately.
• Sector Performance: While Mining is seeing a high rate of expansion, sectors such as Real Estate, Retail Trade, and Agriculture are currently in contraction territory.
• The Housing Market: Miller and the hosts dive into the “perfect storm” affecting housing, where high mortgage rates and rising costs for labor and materials (lumber, steel, and copper) are straining the industry.

The Latest ISM Reports:

Services PMI

Manufacturing PMI