Institute for Supply Management (ISM) service sector report released 12 months of services index exceeded market expectations, while a record high of 4 and a half years, this index has been above 50 for 12 months, suggesting that the U.S. services sector Consecutive year of growth.
ISM pointed out that 12 months of non-manufacturing index (ie, service index) increased from 57.1 points the chain, more than 11 months of 55.0 points, the 12th consecutive month above 50 points. 50 points is the difference between the line of service industry growth or decline. In addition, 57.1 points higher than their survey of economists by Thomson Reuters on average expected 55.6 points.
57.1 points in May 2006 a record high since December at the same time that exceeds the U.S. services sector activity in manufacturing, mainly due to retailers during the Christmas selling season was good. 14 sub-industries in the service sector, real estate, leasing and information industry in December of the chain increase the lead.
ISM services index sub-index, the business activity index rose 6.5 percentage points qoq to 63.5 points, the new orders index increased 5.3 percentage points to 63 points. However, the employment index released earlier today, the strong ADP private employment report was not consistent, and 12 months of service sector employment index down 2.2 percentage points qoq to 50.5 points. This shows that the total amount of U.S. service sector employment is still growing, but growth has begun to decline.
December's service to pay price index rose 6.8 percent, to 70.0 points. Some economists noted that the index of commodity prices usually follow the action, but lately the prices of commodities rose significantly.