U.S. non-manufacturing activity continues faster expansion in October, signaling robust growth of the economy in the month.
The Non-Manufacturing Index (NMI), which measures activity in the U.S. service sector, rose 0.3 percentage point to 60.1 in October, the fastest growth since August 2005, the Institute for Supply Management (ISM) said in its monthly survey on Friday.
The NMI survey covers all sectors outside of manufacturing. A reading above 50 percent indicates expansion of the service sector.
The business activity index went up 0.9 point to 62.2; the new orders component of the index, a signal of future business, went down 0.2 point to 62.8; and the employment index also increased 0.7 point to 57.5.
Of the 18 industries tracked by the NMI, 16 industries reported growth, while only educational service and arts and entertainment industries reported contraction.
Respondent comments continue to indicate a positive outlook for business conditions and the economy as entering in the fourth quarter, said the ISM in the report.
A separate ISM report showed U.S. manufacturing activity continued steady expansion in October despite at a slower pace.
The U.S. economy grew at an annual rate of 3 percent in the third quarter of the year, despite negative impacts from Hurricanes Harvey and Irma. U.S. Federal Reserve officials expected the economy to rebound in the fourth quarter as rebuilding got under way and economic activity in the affected areas resumed.
The Non-Manufacturing Index (NMI), which measures activity in the U.S. service sector, rose 0.3 percentage point to 60.1 in October, the fastest growth since August 2005, the Institute for Supply Management (ISM) said in its monthly survey on Friday.
The NMI survey covers all sectors outside of manufacturing. A reading above 50 percent indicates expansion of the service sector.
The business activity index went up 0.9 point to 62.2; the new orders component of the index, a signal of future business, went down 0.2 point to 62.8; and the employment index also increased 0.7 point to 57.5.
Of the 18 industries tracked by the NMI, 16 industries reported growth, while only educational service and arts and entertainment industries reported contraction.
Respondent comments continue to indicate a positive outlook for business conditions and the economy as entering in the fourth quarter, said the ISM in the report.
A separate ISM report showed U.S. manufacturing activity continued steady expansion in October despite at a slower pace.
The U.S. economy grew at an annual rate of 3 percent in the third quarter of the year, despite negative impacts from Hurricanes Harvey and Irma. U.S. Federal Reserve officials expected the economy to rebound in the fourth quarter as rebuilding got under way and economic activity in the affected areas resumed.
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