An index of the U.S. economy’s service sector increased in January, the Institute for Supply Management reported Feb. 5.
ISM’s monthly services index increased to a 54 reading from 53 in December. Figures of more than 50 indicate expansion, and figures below that show contraction.
The reading was below economists’ median forecast of 53.7, Bloomberg News reported. Estimates ranged from 52 to 55.
The index has averaged 53.8 since the recession ended in June 2009, Bloomberg reported.
ISM’s services index measures nonmanufacturing components. The services sector, which includes transportation, retail sales and financial services, accounts for nearly 90% of the U.S. gross domestic product.