The U.S. service sector expanded in April, in an unexpected reversal of a three-month trend:
Encouraging news for the slumping U.S. economy came Monday as a key survey of non-manufacturing business executives showed unexpected growth in the service sector in April. The Institute for Supply Management’s (ISM) non-manufacturing index rose to a reading of 52 from 49.6 in March. Economists were expecting a reading of 49.5, according to a consensus compiled by Briefing.com. A reading above 50 indicates growth in the sector.
The service sector is generally cited as being about two-thirds of the overall U.S. economy. If this sector is in a genuine rebound, overall job numbers should show it relatively soon.
