Growth in the non-manufacturing, or services, sector of economy picked up steam in June.
According to the Institute for Supply Management (ISM), the sector was up 3.6% from May to a reading of 56.5%, representing continued growth in the non-manufacturing sector at a faster rate. It also marked the 77th consecutive month of expansion.
A reading above 50 indicates expansion, while below that suggests contraction.
The New Orders Index registered 59.9%, 5.7% points higher than the reading of 54.2% in May. The Employment Index grew 3% in June after contracting in May to 52.7%. The Prices Index dipped 0.1% from May to 55.5%, the third consecutive price increase.
Industry by industry
The 15 non-manufacturing industries reporting growth in June were:
- Arts, Entertainment & Recreation;
- Management of Companies & Support Services;
- Retail Trade;
- Health Care & Social Assistance;
- Real Estate, Rental & Leasing;
- Accommodation & Food Services;
- Transportation & Warehousing;
- Wholesale Trade;
- Public Administration;
- Agriculture, Forestry, Fishing & Hunting;
- Construction; and
- Finance & Insurance.
The three industries reporting contraction were:
- Educational Services;
- Professional, Scientific & Technical Services; and
- Other Services.