WASHINGTON, June 5 (Xinhua) -- The U.S. non-manufacturing sector in May expanded at a slightly faster pace compared to the previous month, bouncing back from a low point in over a year, the Institute for Supply Management (ISM) said Wednesday.
The non-manufacturing index (NMI), which gauges the performance of the services sector, registered 56.9 percent in May, up 1.4 percentage points from the April reading of 55.5 percent, according to the latest Non-Manufacturing ISM Report on Business.
"The non-manufacturing sector continues to experience a slight uptick in business activity, but it is still leveling off overall,"said Anthony Nieves, chair of ISM's non-manufacturing business survey committee, noting that "concerns remain about tariffs and employment resources."
The May purchasing managers' index (PMI), which gauges the performance of the manufacturing sector, registered 52.1 percent, the slowest pace since October 2016, data released by the ISM earlier this week showed.
The latest NMI indicated continued growth in the non-manufacturing sector for the 112th consecutive month. A reading above 50 percent indicates that the non-manufacturing sector economy is generally expanding.
"The past relationship between the NMI and the overall economy indicates that the NMI for May corresponds to a 2.9-percent increase in real gross domestic product (GDP) on an annualized basis," Nieves said.
According to its newly released semi-annual Global Economic Prospects report, the World Bank said the U.S. growth is forecast to ease to 2.5 percent this year, and decelerate to 1.7 percent in 2020.
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