All 18 service sector industries reported growth in the Institute for Supply Management (ISM) Non-Manufacturing Index (NMI) in April. The NMI came in at 56.8 for the month. That’s slightly less than the median economic forecast but still very strong.
There was a slowing in the rate of growth that was mostly attributed to the decline in the Employment and Supplier Deliveries indexes,” Anthony Nieves, Chair of the ISM Non-Manufacturing Business Survey Committee. “The respondents have expressed concern regarding the uncertainty about tariffs and the effect on the cost of goods.”
“Overall, the respondents remain positive about business conditions and the economy.”
This is the 105th consecutive month that the NMI posted growth. Worth noting, mining and construction continue to post very strong readings despite the tariff concerns.
The New Orders Index came in at a very strong 60%, slightly higher than the reading of 59.5% in March. The Employment Index declined 3% in April to 53.6% from the March reading of 56.6%. The Prices Index gained by 0.3%, indicating that prices increased in April for the 26th consecutive month.