September services data came in softer than expected—PMI at 54.9, just under the 55 estimate. New orders slowed a bit, but employment finally crept back above 50 after months underwater. The real story? Prices paid jumped to 74.0. Services inflation isn't going quietly.

Still expansion, but the momentum is fading. And if costs keep climbing while demand cools, margins get squeezed. Watch how long companies can absorb this before they pass it on—or cut back.