US Service Sector Expanded More Than Expected as Economy Grows

A broad gauge of US economic activity ticked up in October to its highest level in more than 12 years.

Activity in the USA service sector unexpectedly grew at a faster rate in the month of October, according to a report released by the Institute for Supply Management on Friday.

The Institute for Supply Management said Friday that its services index rose last month to 60.1 from 59.8 in September.

Economists surveyed by The Wall Street Journal had expected an October reading of 58.0.

There's no question that the USA economy appears to be stronger than it was a year ago, said Anthony Nieves, chair of the ISM non-manufacturing business survey committee.

For services companies, measures of business activity and employment improved last month.

"The non-manufacturing sector has reflected the third consecutive month of strong growth", Anthony Nieves, Chair of the ISM Non-Manufacturing Business Survey Committee. The highest reading among pre-2008 composite index calculations was 61.3% in August of 2005.

Meanwhile, the ISM's non-manufacturing export index reached a six-month high, underscoring a general pickup in global demand. But a measure for new orders - while still positive - weakened slightly. In September, the gauge rose by the most since 1997 as energy and chemical producers around Houston were recovering from Hurricane Harvey.

A separate ISM index that tracks the manufacturing sector fell in October to 58.7, remaining in solid-expansion territory, the group said Wednesday.

Some 16 sectors reported growth during October, led by agriculture, while two sectors including educational services reported contraction.

The registered 62.8 in October, down from the reading of 63.0 in the previous month. The improving conditions point to continued economic growth in the months ahead.

Like this


03 November 2017
Kiir accuses Sudan of being 'source of weapons' in South Sudan war
Due to the disputes, ties between Khartoum and Juba have often been tense since South Sudan gained independence in 2011. For his part, Salva Kiir said his talks with Bashir have led to a road map for moving forward.

03 November 2017
Philadelphia Mayor Jim Kenney moves to retake control of city school system
Kenney wants the city to cover the budget deficit, including such costs as the remodeling of classrooms and libraries. Strong public education is the most significant factor in the welfare of our city and the future of our children.

03 November 2017
Whee Kim holds early advantage at Shriners Hospital for Children Open
Former Gator Billy Horschel was two strokes back at 67 with eight others, including Bryson DeChambeau. Charley Hoffman opened his hometown event with a 68 after an eagle on the par-4 15th.

03 November 2017
Retail sales disappoint again, staying flat in September
In volume terms, the seasonally adjusted estimate for the September quarter edged up 0.1 percent, following a rise of 1.5 percent in the June quarter.

03 November 2017
Stock Roaring Upward Mid-Session: Sarepta Therapeutics, Inc. (NASDAQ:SRPT)
They hope that the stock price will fall or that the company will fail and go bankrupt, leading the equity holders to ruin. Given the stock's recent action, it seemed like a good time to take a closer look at the company's recent data.

03 November 2017
Stock Soaring to a Recent High: Foundation Medicine, Inc. (NASDAQ:FMI)
The Firm sells products that are enabled by its molecular information platform to physicians and biopharmaceutical companies. Great West Life Assurance Com Can holds 0% of its portfolio in Foundation Medicine Inc (NASDAQ:FMI) for 1,700 shares.

03 November 2017
Canaccord Genuity Cuts Eldorado Gold Corp (ELD) Price Target to C$2.00
The average is taken over a specific period of time, like 10 days, 20 minutes, 30 weeks, or any time period the trader chooses. Moving averages are considered to be lagging indicators, and they may prove to be very useful for spotting peaks and troughs.

03 November 2017
5 pedestrians, cyclist struck in separate collisions
The pedestrian was taken to hospital; the white truck fled the scene. "It boils down to individuals making mistakes", Const. The pedestrian, a male believed to be in his 30s, was in serious condition after becoming pinned beneath the streetcar.

03 November 2017
Venezuela seeks to restructure debt as economy teeters on insolvency
Venezuela's opposition was scathing over Maduro's plans, saying his socialist government had no credibility overseas . Credit-rating agencies are increasingly warning of the risk of a Venezuelan debt default.

03 November 2017
Paul Merson predicts Tottenham v Crystal Palace
After the defeat to Manchester United it is so important to win again in the Premier League. It's true the game against Manchester United was very painful - to lose the way we lost .