A key part of America's economy has shifted into reverse

cnn.com

23 points·teleforce··9 comments

Text only: https://lite.cnn.com/2024/07/07/economy/stocks-week-ahead-se...

The number went from ~54 to ~49.

A reading above 50 indicates growth in the services sector, while a reading below 50 indicates contraction. The ISM releases this report monthly to provide a measure of economic conditions in the services sector.

49 doesn't seem that low? Especially since it was below 43 twice in 2023: https://ycharts.com/indicators/us_ism_manufacturing_new_orde...

Am I missing something or is CNN just sensationalizing?

ISM services tracks mostly blue chip companies and we all know what these giant corps do... they outsource.

that's because service will be outsourced now that everything is online.

They already are testing out cashiers and servers via Zoom from the Philippines, so those jobs aren't safe either

How does a server via Zoom in the Philippines take the food from the kitchen and put it in your table? I can see cashiers but servers seem like one job that's hard to make remote due to physically having to deliver stuff to a table.

They can outsource the order taking and customer interaction while still paying someone local to ferry orders from the kitchen to the table.

To save the click, that key part is services. Dropped to <50 in the Institute for Supply Management's monthly survey which implies contraction

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