US Services PMI Grows 0.1% to 52.9 in June 2025 Despite Economic Uncertainty

In June 2025, the S&P Global reported a slight decrease in the growth of the US private sector, with the Services and Composite PMI indices standing at 52.9. This figure, while slightly lower than May's, indicates a continued but slowed economic expansion. The data highlights ongoing cost pressures but notes minimal movement in major crypto assets, suggesting that the crypto market has not been significantly impacted by these economic trends.

The Composite PMI index, which is compiled from corporate surveys, reflects the overall economic activity in the private sector. The slight dip in the June figures suggests a deceleration in the expansion of services, which historically has been a driver of risk assets like Bitcoin (BTC) and Ethereum (ETH). However, the current signals from the June PMI data show mixed macro trends, leading to a more subdued market reaction.

Market reactions to the PMI data have been moderate, with no significant adjustments in crypto valuations. Investors seem to be adopting a wait-and-see approach, as cost pressures and selling prices continue to increase. The moderate nature of the report has resulted in limited or subdued reactions within the market, particularly among leading cryptocurrencies like BTC and ETH.

Historically, soft PMI prints have instigated short-term volatility in the crypto market. However, the current report's moderate nature has led to minimal market movements. The crypto market's sensitivity revolves mainly around BTC, ETH, and macro-related DeFi protocols. Despite the unchanged total value locked (TVL) and exchange flows, close monitoring remains crucial going forward.

Insights into future outcomes emphasize the importance of monitoring cost trends, tariff influences, and growth rates affecting BTC and ETH. Analysts suggest that developments in these areas could reshape market sentiment, aligning with past performance patterns amid uncertain growth prospects. The overall economic outlook remains cautious, with slow growth and economic uncertainty being the prevailing themes.

The U.S. Services PMI for June 2025 registered at 52.9, slightly above the forecast of 52.8. This marks the 29th consecutive month of growth in the services sector, indicating sustained expansion despite economic uncertainties. The reading suggests moderate growth, with business activity remaining robust. The ISM Services PMI also showed a rise to 50.8 in June from 49.9 in May, slightly above the forecast of 50.5. This reading indicates a return to expansion territory after a brief contraction in May. The index reflects economic activity in the services sector, which is a significant component of the U.S. economy. The increase in the ISM Services PMI was attributed to slow growth and economic uncertainty, as frequently referenced by respondents.

The manufacturing sector, however, continued to face challenges, with the Manufacturing PMI value recording a contractionary value of 49.0 in June. This reflects a 0.5 percentage point increase from the previous month but still indicates a contraction in the manufacturing sector. The overall economic outlook remains cautious, with slow growth and economic uncertainty being the prevailing themes. The impact of cryptocurrency on the PMI data was minimal, as the focus remained on traditional economic indicators. The services sector's return to growth is a positive sign for the U.S. economy, but the manufacturing sector's contraction highlights the need for continued monitoring and potential policy interventions.