Tempe, AZ, January 4, 2007--Business activity in the non-manufacturing sector increased at a slower rate in December 2006, say the nation's purchasing and supply executives in the latest Non-Manufacturing ISM Report On Business.
The report was issued today by Anthony Nieves, C.P.M., CFPM, chair of the Institute for Supply Management Non-Manufacturing Business Survey Committee; and senior vice president—supply management for Hilton Hotels Corporation. "Non-manufacturing business activity increased for the 45th consecutive month in December," Nieves said.
Nieves added, "Business Activity increased at a slower rate in December than in November. Employment, Inventory, Exports and Imports all increased at a faster rate. The Prices Index increased 3.5 percentage points this month to 59.1 percent. Nine of 18 non-manufacturing industries reported increased activity in December. Members' comments in December are generally positive concerning current business conditions. The overall indication in December is continued economic growth in the non-manufacturing sector, but at a slower pace than in November."
The nine industries reporting growth in December-—listed in order--are: Real Estate, Rental & Leasing; Finance & Insurance; Utilities; Wholesale Trade; Accommodation & Food Services; Educational Services; Information; Health Care & Social Assistance; and Professional, Scientific & Technical Services. The three industries reporting activity the same as last month are: Agriculture, Forestry, Fishing & Hunting; Retail Trade; and Arts, Entertainment & Recreation. The six industries reporting decreased activity from November to December are: Mining; Other Services*; Management of Companies & Support Services; Construction; Transportation & Warehousing; and Public Administration.
What respondents are saying: "Business activity remains strong and is on the upturn." (Finance & Insurance)
"Housing sales slowing, affecting all areas of business." (Construction)
"The economy is starting to slow a little bit." (Professional, Scientific & Technical Services)
"Market remains stable." (Information)
"Business is steady, some seasonal increases." (Wholesale Trade)
