ISM: Non-Manufacturing Sector Growth Slower in October

The ISM Non-Manufacturing Index registered 60.3 points in October, 1.3 percentage points below September’s figure. This was the 105th consecutive month of expansion as a reading above 50 indicates growth. Seventeen non-manufacturing industries reported growth, while one reported a decrease. The majority of respondents remain positive about business conditions and the economy, but capacity, logistics, and tariffs are ongoing concerns.

Growth in the Business Activity Index decreased 2.7 points to 62.5, the 111th consecutive month of growth. Fifteen industries reported increased business activity, while one reported decreased activity.

Non-manufacturing employment grew for the 56th consecutive month. The index decreased 2.7 points to 59.7. Ten industries reported increased employment, while three reported decreased employment.

The New Orders Index decreased 0.1 points to 61.5. Sixteen industries reported increased business activity, while two reported decreased activity.

Supplier deliveries slowed for the 34th consecutive month, as the index registered 57.5 points (readings above 50 for this index indicate slower deliveries). Thirteen industries reported slower deliveries, while one industry reported faster deliveries.

Read the ISM release.