EmailThe ISM Non-manufacturing Index increased from 53.5 in April to 53.7 in May. The Briefing.com consensus expected the index to fall to 53.1. After slowing in April, business activity growth accelerated in May as the respective index increased from 54.6 to 55.6. The pickup was driven by an acceleration in the new orders index, which rose to 55.5 from 53.5, and steady backlog growth, which stayed at an expansion level of 53.0 for the second consecutive month.
The employment index dropped from 54.2 in April to 50.8 in May. That move is in-line with the lackluster payroll data from the May employment report. Inflation pressures eased as businesses reported a contraction in prices for the first time in 34 months. The price index fell from 53.6 in April to 49.8 in May.
