S&P global U.S. services PMI comes in at 52.9 vs. 54.0 estimated

Core Insights - December preliminary S&P global PMIs indicate a slowdown in manufacturing and services sectors, with manufacturing at 51.8%, down from 52.2% last month, marking the lowest since July [1] - Services PMI came in at 52.9%, lower than the expected 54 and last month's 54.1%, reflecting a similar trend of decline [1] - The composite PMI registered at 53, below the expected 53.9% and last month's 54.2%, indicating a general weakening across sectors [2] Industry Analysis - All three PMIs remain above the expansion threshold of 50, but they are all below market expectations, suggesting a potential slowdown in economic growth [3] - The yield curve is showing some steepness, influenced by recent job reports and slight weakening in the labor market, which is affecting two-year yields due to Federal Reserve implications [3] - Current 10-year yields are hovering around 4.18%, reflecting a one basis point increase, indicating ongoing volatility in the long end of the yield curve [3]