Bloomberg (08/03/12) Lorraine Woellert
Service industries in the U.S. expanded in July at a faster pace than a month earlier, helped by a pickup in orders. The Institute for Supply Management’s non-manufacturing index increased to 52.6, from 52.1 in June, the group reported. The median forecast of 73 economists surveyed by Bloomberg called for no change from June. A reading above 50 signals expansion.
The measure is below the 54.2 average over the last six months, indicating services that make up almost 90% of the economy are hindered by slower global growth and concerns about the so-called U.S. fiscal cliff. The group’s gauge of employment fell to the lowest level since September, a sign households may also stay reluctant to step up purchases.