Some market data is covered by the team at TechTarget. Quote
The Institute for Supply Management’s Services PMI — an index closely watched by investors, businesses, and other financial professionals — grew an unexpected 1.4% in July compared with the association’s June survey. Based on a poll of purchasing and supply executives, the index tracks activity in several services sectors, including professional, scientific, and technical services, including consulting and computer services. Other sectors represented in the index run the gamut from mining to financial services.
Another measure of IT services activity, M&A deals, continues to expand. Drake Star, a New York-based technology investment bank, reported “steady” transaction growth in the digital services sector. Digital services include managed IT services, digital transformation, and business process outsourcing.
Drake Star reported more than 375 M&A deals in digital services for the second quarter.
Why do we care?
This is my reinforcement of the previous story – the services markets are seemingly strong and, in the current weird economy, not slowing down. I’ll be happy to be proven wrong on my nervousness if this continues to play out, and there’s a reason for cautious optimism.