Service Sector

The U.S. service sector expanded at a slightly faster pace in August, but growth was spotty and prices paid for raw materials shot up, according to a survey of senior executives. The Institute for Supply Management said Tuesday that its service index rose to 53.3% in August from 52.7% in July. Economists surveyed by MarketWatch expected the index to fall to 51.0%. Although readings over 50% indicate that more firms are expanding than contracting, the index is still well below its recent peak of 59.7% in February.

WASHINGTON -- The service sector's expansion slowed last month from its fastest pace in a year in February, the Institute for Supply Management said Wednesday. The firm's widely watched purchasing managers index was at 54.4 in March, suggesting a 39th straight month of growth in the service sector. But the figure was down from a 56 reading the previous month. Analysts had expected the index to drop to about 55.5. A figure above 50 indicates the sector is growing. Quiz: How much do you know about California's economy?

The U.S. services sector continued to expand in November, marking an 11th straight month of growth, according to a closely watched survey. The Institute for Supply Management said Friday that its nonmanufacturing index increased to 55% from 54.3% in October, in line with predictions by economists surveyed by MarketWatch. Readings above 50% indicate that business at more firms is expanding rather than contracting. The index had been above 50% since December 2009. "Respondents' comments mostly reflect cautious optimism," said Anthony Nieves, chairman of the ISM nonmanufacturing index.

WASHINGTON - Private-sector employment growth and expansion in the vital service sector slowed last month, raising concerns about the strength of the recovery ahead of Friday's government jobs report. Payroll firm Automatic Data Processing Inc. said Wednesday that the private sector added 158,000 jobs in March. The figure was well below the 237,000 private-sector jobs added in February, a number that was revised up from the initial report of 198,000. Economists had expected that ADP would show about 200,000 private-sector jobs were added last month.

WASHINGTON ? The nation's service sector expanded for a ninth straight month during September, a report showed Tuesday, with key employment numbers registering growth for the third time in the last five months. The Institute for Supply Management's nonmanufacturing index climbed to 53.2%, up from 51.5% in August and coming in stronger than the 52.3% expected in a survey of economists. Readings higher than 50% indicate expansion. Of the indexes that compose the ISM poll, the business activity index slowed 1.6 percentage points in September to 52.8%, the new orders index climbed 2.5 percentage points to 54.9% and the employment index added 2 percentage points to 50.2%.

WASHINGTON -- The nation's service sector expanded last month at a slightly faster pace than in October as new orders offset a dip in hiring. The Institute for Supply Management's purchasing managers' index rose to 54.7 in November, up 0.5 from the previous month, the group said Wednesday. A reading above 50 indicates growth, and November marked the 35th straight month of expansion. Analysts had expected the pace of growth to slow last month to about 53.5. ISM reported Tuesday that the manufacturing sector contracted in November for the first time in three months, though Hurricane Sandy might have caused the reading to fall to its lowest level since 2009.

The U.S. service sector last month marked its fastest expansion in more than two years while two employment reports Wednesday showed promise ahead of Friday's government jobs data. The service sector index calculated by the Institute for Supply Management jumped to 53 in February from 50.5 in January, the highest level since December 2007. Any level above 50 represents growth, according to the Tempe, Ariz.-based nonprofit. Employment in the service sector has declined for the last 26 months, but the institute's employment index for the sector jumped in February to 48.6 from 44.6, suggesting that more jobs could be on the horizon.

This post has been corrected. See the note at the bottom for details. NEW YORK -- The nation's job numbers for February were encouraging, with employers adding 236,000 positions over the month, far exceeding analysts' expectations. But break down the job numbers by sector, and a trend emerges - it's the service sector that is leading the recovery. Employers in the service sector have added 179,000 jobs over the last month, while manufacturing added just 14,000 and construction just 48,000.

WASHINGTON  -- The growth of the U.S. service sector picked up in July, beating analyst expectations and providing another good - though not great - economic sign Friday. The Institute for Supply Management's non-manufacturing index increased to 52.6% from 52.1% in June. Analysts had expected it to stay flat. The improved reading came as the government reported the U.S. economy created 163,000 net new jobs in July, also beating expectations. The unemployment rate increased to 8.3% from 8.2%.

WASHINGTON -- The service sector's expansion slowed last month from its fastest pace in a year in February, the Institute for Supply Management said Wednesday. The firm's widely watched purchasing managers index was at 54.4 in March, suggesting a 39th straight month of growth in the service sector. But the figure was down from a 56 reading the previous month. Analysts had expected the index to drop to about 55.5. A figure above 50 indicates the sector is growing. Quiz: How much do you know about California's economy?

This post has been corrected. See the note at the bottom for details. NEW YORK -- The nation's job numbers for February were encouraging, with employers adding 236,000 positions over the month, far exceeding analysts' expectations. But break down the job numbers by sector, and a trend emerges - it's the service sector that is leading the recovery. Employers in the service sector have added 179,000 jobs over the last month, while manufacturing added just 14,000 and construction just 48,000.

WASHINGTON -- The service sector, the major driver of the U.S. economy, expanded in February at its fastest pace in a year, according to a leading private barometer released Tuesday. The Institute for Supply Management's non-manufacturing index rose to 56 last month from 55.2 in January. The increase exceeded expectations of analysts, who had expected the widely watched purchasing manager's index would be little changed. Last month's reading was the highest since the index registered 56.1 in February 2012.

WASHINGTON -- The nation's service sector expanded last month at a slightly faster pace than in October as new orders offset a dip in hiring. The Institute for Supply Management's purchasing managers' index rose to 54.7 in November, up 0.5 from the previous month, the group said Wednesday. A reading above 50 indicates growth, and November marked the 35th straight month of expansion. Analysts had expected the pace of growth to slow last month to about 53.5. ISM reported Tuesday that the manufacturing sector contracted in November for the first time in three months, though Hurricane Sandy might have caused the reading to fall to its lowest level since 2009.

According to one gauge, Americans say their personal financial health is the best it's been in years, even as the uncertainty of the presidential election looms and the money-sucking winter holiday season approaches. The Trouble Tracker Index from Consumer Reports, which measures reports of household money woes, fell sharply to 38.7 in its November edition from 50.2 in last month's tally -- its lowest level since the gauge was first calculated in April 2009. Any figure above 50 means that more consumers are struggling with troubles such as the inability to pay for medical bills, shrinking healthcare coverage and missed payments.

WASHINGTON -- The U.S. service sector grew at a faster rate in September than in the previous month, according to a key index updated Wednesday, another positive economic sign before Friday's government jobs report. The Institute for Supply Management's non-manufacturing index increased to 55.1 in September, up from 53.7 in August. Economists had expected the group's purchasing manager's index to dip slightly this month. Instead, the widely watched gauge showed the large U.S. service sector grew for the 33rd straight month and at a faster rate than in recent reports.

In another sign of an improving economy, private companies added 216,000 jobs in February, according to a study released Wednesday. The new numbers mark a significant improvement over the 173,000 jobs added in January, according to Automatic Data Processing Inc., a New Jersey human resources, payroll and benefits company that releases a monthly jobs report based on data from nearly 500,000 clients. The biggest jump came in the service sector, which added 170,000 jobs, according to the report.