Non-Manufacturing Sector Growth up 2.2 Percentage Points in October

Tempe, AZ, November 5, 2015—Economic activity in the non-manufacturing sector registered 59.1% in October, 2.2 percentage points higher than the September reading of 56.9%, say the nation’s purchasing and supply executives in the latest Non-Manufacturing ISM Report On Business.

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

The Non-Manufacturing Business Activity Index increased to 63%, which is 2.8 percentage points higher than the September reading of 60.2%, reflecting growth for the 75th consecutive month at a faster rate.

The New Orders Index registered 62%, 5.3 percentage points higher than the reading of 56.7% in September.

The Employment Index increased 0.9 percentage point to 59.2% from the September reading of 58.3% and indicates growth for the 20th consecutive month.

The Prices Index increased 0.7 percentage point from the September reading of 48.4% to 49.1%, indicating prices decreased in October for the second consecutive month. According to the NMI, 14 non-manufacturing industries reported growth in October. After the slight cooling off in September, the non-manufacturing sector reflected growth across most of the indexes.

The 14 non-manufacturing industries reporting growth in October, listed in order, are: Transportation & Warehousing; Health Care & Social Assistance; Professional, Scientific & Technical Services; Utilities; Retail Trade; Construction; Management of Companies & Support Services; Information; Finance & Insurance; Other Services; Arts, Entertainment & Recreation; Public Administration; Wholesale Trade; and Accommodation & Food Services.

The only industry reporting contraction in October is Mining.