The ISM Non-Manufacturing Index rose from 49.5 to 50.6, ahead of the estimate of 49.5. The report on the service sector suggests that activity is barely expanding, despite continued weakness in the labor market. Pricing pressures are still high but continue to ease amid sluggish economic activity and falling raw material prices.
Final nonfarm productivity in 2Q increased from the initial figure of 2.2% to 4.3%, well ahead of the estimate of 3.5%. Unit labor costs were revised down from a 1.3% gain to a 0.5% decline, versus the forecast of unchanged.
More from Bloomberg...
