Non-Manufacturing Index Growth Continues in December, at Slower Rate

Tempe, AZ, January 6, 2016—The Non-Manufacturing Index (NMI) registered 55.3% in December, 0.6 percentage point lower than the November reading of 55.9%, according to the Non-Manufacturing ISM Report On Business.

This represents continued growth in the non-manufacturing sector at a slightly slower rate.

The Non-Manufacturing Business Activity Index increased to 58.7%, which is 0.5 percentage point higher than the November reading of 58.2%, reflecting growth for the 77th consecutive month at a slightly faster rate.

The New Orders Index registered 58.2%, 0.7 percentage point higher than the reading of 57.5% in November.

The Employment Index increased 0.7 percentage point to 55.7% from the November reading of 55% and indicates growth for the 22nd consecutive month.

The Prices Index decreased 0.6 percentage point from the November reading of 50.3% to 49.7%, indicating prices decreased in December for the third time in the last four months.

The 11 non-manufacturing industries reporting growth in December—listed in order—are Accommodation & Food Services; Management of Companies & Support Services; Health Care & Social Assistance; Information; Retail Trade; Real Estate, Rental & Leasing; Arts, Entertainment & Recreation; Finance & Insurance; Construction; Professional, Scientific & Technical Services; and Utilities.

The five industries reporting contraction in December are Other Services; Educational Services; Wholesale Trade; Public Administration; and Transportation & Warehousing.