FREE SUBSCRIPTION Includes: The Advisor Daily eBlast + Exclusive Content + Professional Network Membership: JOIN NOW LOGIN
Skip Navigation LinksHome / News / Read News


ISM: Services Sector Expands for 48th Consectutive Month in January

February 10, 2014, 06:30 AM
Filed Under: Economy

Economic activity in the non-manufacturing sector grew in January for the 48th consecutive month, say the nation's purchasing and supply executives in the latest Non-Manufacturing ISM Report On Business®.

The report was issued today by Anthony Nieves, CPSM, C.P.M., CFPM, chair of the Institute for Supply Management® Non-Manufacturing Business Survey Committee. "The NMI® registered 54 percent in January, 1 percentage point higher than the seasonally adjusted reading of 53 percent registered in December. The Non-Manufacturing Business Activity Index increased to 56.3 percent, which is 2 percentage points higher than the seasonally adjusted reading of 54.3 percent reported in December, reflecting growth for the 54th consecutive month and at a faster rate. The New Orders Index increased to 50.9 percent, 0.5 percentage point higher than the seasonally adjusted reading of 50.4 registered in December. The Employment Index increased 0.8 percentage point to 56.4 percent from the December seasonally adjusted reading of 55.6 percent and indicates growth in employment for the 25th consecutive month and at a faster rate. The Prices Index increased 2.4 percentage points from the December seasonally adjusted reading of 54.7 percent to 57.1 percent, indicating prices increased at a faster rate in January when compared to December.  According to the NMI®, eleven non-manufacturing industries reported growth in January. The majority of respondents' comments reflect an improvement in business conditions.  Some of the respondents indicate that weather conditions have impacted their business.  There remains a bit of uncertainty about the overall economy for some of the survey respondents; however, the majority feel positive about continued economic growth."

Industry Performance

The eleven non-manufacturing industries reporting growth in January — listed in order — are:  Management of Companies & Support Services; Agriculture, Forestry, Fishing & Hunting; Other Services; Public Administration; Utilities; Professional, Scientific & Technical Services; Information; Wholesale Trade; Real Estate, Rental & Leasing; Retail Trade; and Finance & Insurance.

The seven industries reporting contraction in January — listed in order — are: Mining; Arts, Entertainment & Recreation; Health Care & Social Assistance; Transportation & Warehousing; Educational Services; Accommodation & Food Services; and Construction.

Comments From Our Members

You must be an Equipment Finance Advisor member to post comments. Login or Join Now.