US services sector expands in September for 9th straight month

By Ovunc Kutlu

ISTANBUL (AA) - Economic activity in the US services sector expanded in September for a ninth straight month, according to a report Wednesday by the Institute for Supply Management (ISM).

The ISM's non-manufacturing purchasing managers’ index (PMI), also known as the ISM services PMI, was in line with estimates of 53.6% -- 0.9 percentage points lower than the reading in July of 54.5%.

A reading above 50 indicates growth and below that shows contraction.

The US services sector has grown in 39 of the last 40 months, with the lone contraction in December, according to the ISM. The index hit an all-time high of 69.1% in November 2021.

"Thirteen industries reported growth in September," ISM Chair Anthony Nieves said in the report, adding that the figure continues to indicate "sustained growth" for the services sector.

"There has been a slight pullback in the rate of growth for the services sector, which is attributed to slower rates of growth in the New Orders and Employment indexes. The majority of respondents remain positive about business conditions; moreover, some respondents indicated concern about potential headwinds," he said.