FOREX TradingCharts.com

Financial News: U.S. Service Sector Activity Shows Substantial Turnaround

U.S. Service Sector Activity Shows Substantial Turnaround In June

07/06/2020 - 10:43:00 (RTTNews)

(RTTNews) - In the latest sign of the rapid economic recovery, the Institute for Supply Management released a report on Monday showing a substantial turnaround in U.S. service sector activity in the month of June.

The ISM said its non-manufacturing index spiked to 57.1 in June from 45.4 in May, with a reading above 50 indicting an increase in service sector activity. Economists had expected the index to climb to 50.1.

The sharp increase by the non-manufacturing index reflected the largest single-month percentage-point increase since its debut in 1997.

"The non-manufacturing composite index indicated growth after two consecutive months of contraction," said Anthony Nieves, Chair of the ISM Non-Manufacturing Business Survey Committee.

He added, "Respondents remain concerned about the coronavirus and the more recent civil unrest; however, they are cautiously optimistic about business conditions and the economy as businesses are beginning to reopen."

The much bigger than expected increase by the headline index came as the business activity index skyrocketed to 66.0 in June from 41.0 in May and the new orders index soared to 61.6 from 41.9.

The employment index also jumped to 43.1 in June from 31.8 in May, although the reading below 50 indicates employment in the service sector contracted for the fourth month in a row.

The report also said the prices index surged up to 62.4 in June from 55.6 in May, reflecting the largest monthly increase since August of 2012.

Last Wednesday, the ISM released a separate report showing U.S. manufacturing activity unexpectedly expanded in June after three straight months of contraction.

The ISM said its purchasing managers index jumped to 52.6 in June from 43.1 in May, with a reading above 50 indicating an expansion in manufacturing activity.

Economists had expected the index to climb to 49.5, which have still indicated a modest contraction in manufacturing activity.

For comments and feedback: contact editorial@rttnews.com

Copyright(c) 2020 RTTNews.com. All Rights Reserved

Market News provided by RTTNews

RECENT INTERNATIONAL FINANCIAL NEWS


Portugal Q2 GDP Decline Revised To 16.3% (31 min(s), 27 sec(s) ago)
(RTTNews) - Portugal's economy contracted slightly less than initially estimated, but the rate ...Full Story»

Dutch GDP Falls Most On Record On Covid-19 Impact (44 min(s), 27 sec(s) ago)
(RTTNews) - The Netherlands' economy shrank at a record pace in the second quarter and entered ...Full Story»

Slovakia Economy In Recession In Q2 (01 hr(s), 0 min(s),27 sec(s) ago)
(RTTNews) - Slovakia's economy shrank further in the second quarter amid the disruption caused ...Full Story»

U.S. Business Inventories Slump Slightly Less Than Expected In June (02 hr(s), 03 min(s), 27 sec(s) ago)
(RTTNews) - Business inventories in the U.S. showed a continued decrease in the month of June, acc ...Full Story»

U.S. Consumer Sentiment Unexpectedly Edges Higher In August (02 hr(s), 21 min(s), 27 sec(s) ago)
(RTTNews) - A preliminary reading released by the University of Michigan on Friday unexpectedly sh ...Full Story»

Finland Economy Sinks Into Deep Recession (02 hr(s), 44 min(s), 27 sec(s) ago)
(RTTNews) - Finland's economy shrank for a third consecutive quarter in the three months to Ju ...Full Story»

U.S. Industrial Production Growth Slows But Matches Estimates (02 hr(s), 42 min(s), 27 sec(s) ago)
(RTTNews) - Reflecting sharp increases in manufacturing and utilities output, the Labor Department ...Full Story»

U.S. Productivity Spikes In Q2 As Hours Plummet More Than Output (02 hr(s), 50 min(s), 27 sec(s) ago)
(RTTNews) - Labor productivity in the U.S. soared by much more than expected in the second quarter ...Full Story»

Search

INTERNATIONAL FINANCIAL NEWS

Portugal Q2 GDP Decline Revised To 16.3%

08/14/2020 - 12:01 PM (RTTNews)
(RTTNews) - Portugal's economy contracted slightly less than initially estimated, but the rate ...Full Story>>

Dutch GDP Falls Most On Record On Covid-19 Impact

08/14/2020 - 11:48 AM (RTTNews)
(RTTNews) - The Netherlands' economy shrank at a record pace in the second quarter and entered ...Full Story>>

Slovakia Economy In Recession In Q2

08/14/2020 - 11:32 AM (RTTNews)
(RTTNews) - Slovakia's economy shrank further in the second quarter amid the disruption caused ...Full Story>>

U.S. Business Inventories Slump Slightly Less Than Expected In June

08/14/2020 - 10:29 AM (RTTNews)
(RTTNews) - Business inventories in the U.S. showed a continued decrease in the month of June, acc ...Full Story>>

U.S. Consumer Sentiment Unexpectedly Edges Higher In August

08/14/2020 - 10:11 AM (RTTNews)
(RTTNews) - A preliminary reading released by the University of Michigan on Friday unexpectedly sh ...Full Story>>

Do not sell my personal information

Copyright © 2020. All market data is provided by Barchart Solutions. Information is provided "as is" and solely for informational purposes, not for trading purposes or advice. To see all exchange delays and terms of use, please see disclaimer.