Service Sector Slide Slows in April

Washington, DC, May 5, 2009--U.S. service industries contracted in April for the seventh straight month, but at a slower pace than in March, according to the Institute for Supply Management index released Tuesday.

The ISM non-manufacturing index improved to 43.7% from 40.8% in March. Economists were looking for an increase to 42.0%. Readings under 50% indicate most firms surveyed said business was getting worse in April.

Seven of 18 industries were growing in April. The new orders index improved to 47.0% from 38.8%. Employment improved to 37% from 32.3%.