ISM Manufacturing and Service Sectors Increase in AprilMay 6 2010
ISM Manufacturing and Service Sectors Surpass Expectations in April
May 6, 2010 - The U.S. manufacturing sector grew at its fastest pace in nearly six years, rising to 60.4 for the month of April.
The Institute for Supply Management reported that new orders jumped up to 65.7, while production rose to 66.9, making them both large contributors to April's results. Employment also rose to its strongest level since 2005, reaching 58.5.
Largely driven by these increases in manufacturing jobs, new orders and productivity, the manufacturing sector has maintained its steady growth for the last nine months. Of the 18 industries that the ISM tracks, 17 expanded last month, a sign that the economy is continuing to grow.
The U.S. service sector fell flat in April, remaining at 55.4%. While overall activity continues to remain high, the non-manufacturing index fell below economists' expectations.