ABA Banking Journal
The ISM Non-Manufacturing Business Index fell to 55.9 in November, 3.2 points below October’s reading. Despite the drop, November marked the 76th consecutive month of growth, as indicated by readings over 50. Twelve non-manufacturing industries reported growth in November, while 6 reported contraction.
The Business Activity Index fell 4.8 points to 58.2, yet still registered a 76th consecutive month of growth in business activity. Respondents reported business expansion and that they were experiencing more orders for their services.
Non-manufacturing employment continued to grow, albeit at a slower pace, as the index for employment fell 4.2 points to 55.0. Eight industries reported increases in employment, including transportation and warehousing, real estate, and finance and insurance. Five industries, including mining, utilities, and construction, reported contraction.
The New Orders index registered 57.5 percent, down 4.5 points from the previous month. Respondents noted an increase in orders as part of an end-of-year rush, as well as a pick-up in new orders due to aggressive discounts.
Supplier deliveries continued to slow, as the index registered 53.0 points, up 1 point from October. (Readings above 50 indicate slower deliveries.) Four sectors, including mining, educational services, and transportation and warehousing, reported faster deliveries, while eight, including construction, retail trade, and professional and scientific services reported slower deliveries.
Read the ISM release.