"US Services Sector Sees Slower Input Price Increase as Private Payrolls Exceed Expectations in March"

The US services industry growth slowed in March, with the Services PMI falling to 51.4 and the prices paid by businesses for inputs dropping to a four-year low, indicating a gradual moderation in inflation. Despite easing labor market conditions, skilled workers remain in short supply, particularly in industries like construction. The Federal Reserve is expected to start cutting rates this year, depending on inflation behavior. The survey's measure of new orders received by services businesses slipped, while production remained strong. Additionally, the ADP National Employment Report showed a significant increase in median wages for workers switching jobs, suggesting a willingness of companies to pay up for new hires.