Acceleration in US service sector: ISM

0 Comments | AFP, September, 2006

WASHINGTON (AFP) — Economic activity accelerated in the US economy's vast services sector in August, the Institute for Supply Management said. The ISM index of nonmanufacturing activity rose to 57.0 percent in August from 54.8 percent in July. Any figure above 50 indicates expansion, so the ISM report suggested stronger growth in services, which make up the lion's share of activity in the world's biggest economy.

The report was better than the average Wall Street forecast of 55.0 percent. "Nonmanufacturing business activity increased for the 41st consecutive month in August," said survey chief Anthony Nieves, who noted 11 of the 18 services sectors reported increased activity in August. "Members' comments in August are mostly positive concerning current business conditions,"...