Services Sector Expands at Faster Pace in August

Tempe, AZ, Sept. 4, 2014 -- Growth in the services sector of the economy accelerated in August to the highest level since 2005, according to the Institute for Supply Management.

ISM said its services index rose to 59.6 last month from 58.7 in July, topping economists' forecasts for 57.5.

A reading above 50 indicates expansion.

The index of business activity rose to 65.0 in August, the highest since December 2004.

The employment index hit 57.1 in August, the highest since February 2006.