Non-Manufacturing Index Rose to 58.5% in August
Tempe, AZ, September 6, 2018-The Non-Manufacturing Index (NMI) registered 58.5%, which is 2.8 percentage points higher than the July reading of 55.7%, according to 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 60.7%, 4.2 percentage points higher than the July reading of 56.5%, reflecting growth for the 109th consecutive month, at a faster rate in August.
The New Orders Index registered 60.4%, 3.4 percentage points higher than the reading of 57% in July.
The Employment Index increased 0.6 percentage point in August to 56.7% from the July reading of 56.1%.
The Prices Index decreased by 0.6 percentage point from the July reading of 63.4% to 62.8%, indicating that prices increased in August for the 30th consecutive month.
According to the NMI, 16 non-manufacturing industries reported growth. There was a strong rebound for the non-manufacturing sector in August after growth ‘cooled off’ in July. Logistics, tariffs and employment resources continue to have an impact on many of the respective industries. Overall, the respondents remain positive about business conditions and the economy.
The 16 non-manufacturing industries reporting growth in August-listed in order-are construction; transportation & warehousing; retail trade; educational services; other services; real estate, rental & leasing; public administration; management of companies & support services; wholesale trade; mining; accommodation & food services; health care & social assistance; finance & insurance; utilities; professional, scientific & technical services; and information. The only industry reporting a decrease is agriculture, forestry, fishing & hunting.