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Service Sector Growing at Fastest Rate Since 2008

Business Strategy

Growth in the U.S. service sector accelerated in February to its fastest pace in more than two years, the Institute for Supply Management reported.

| March 4, 2010

NEW YORK - Growth in the U.S. service sector accelerated in February to its fastest pace in more than two years, but jobs remained hard to find.

Gains in the U.S. economy have so far been led by a rebound in manufacturing, as companies slowed their inventory drawdowns and exports rose.

The service sector, which accounts for the vast majority of U.S. jobs, has seen much slower, bumpier improvement as layoffs and tight credit weigh on consumers. Its health is crucial to a sustained recovery from the deep recession that began in December 2007.

The Institute for Supply Management said Wednesday its index measuring service industry activity rose to 53 in February from 50.5 in January.

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Source: MSNBC

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