*Number of months moving in current direction. Non-Manufacturing ISM® Report On Business® data is seasonally
adjusted for the Business Activity, New Orders, Prices and Employment Indexes.
Economic activity in the non-manufacturing sector grew in August for the 92nd consecutive month, say the nation’s purchasing and supply executives in the latest Non-Manufacturing ISM® Report On Business®.
The NMI® registered 55.3 percent. This represents continued
growth in the non-manufacturing
sector at a faster rate. The Non-Manufacturing Business Activity
Index increased to 57.5 percent, 1. 6
percentage points higher than the July
reading of 55.9 percent, reflecting growth for the 97th consecutive
month, at a faster rate in August. The New Orders Index registered
57.1 percent, 2 percentage points higher than the reading of 55.1
percent in July. The Employment Index increased 2. 6 percentage
points in August to 56.2 percent from the July reading of 53.6
percent. The Prices Index increased 2. 2 percentage points from
the July reading of 55.7 percent to 57.9 percent, indicating prices
increased in August for the third consecutive month. The non-
manufacturing sector has rebounded from the prior month’s
cooling-off period. The majority of respondents are optimistic about
business conditions going forward.
The 15 non-manufacturing industries
reporting growth in August — listed in
order — are: Retail Trade;
Information; Management of
Companies & Support Services; Real Estate, Rental & Leasing;
Other Services✣; Wholesale Trade; Utilities; Mining; Educational
Services; Accommodation & Food Services; Finance & Insurance;
Public Administration; Professional, Scientific & Technical Services;
Construction; and Health Care & Social Assistance.
NON-MANUFACTURING AT A GLANCE
Index Aug Index Jul Index %Point Change Direction Rateof Change Trend* (months)
NMI® 55.3 53.9 + 1. 4 Growing Faster 92
Business Activity 57.5 55.9 + 1. 6 Growing Faster 97
New Orders 57.1 55.1 + 2.0 Growing Faster 97
Employment 56.2 53.6 + 2. 6 Growing Faster 42
Supplier Deliveries 50.5 51.0 -0.5 Slowing Slower 20
Inventories 53.5 56.5 - 3.0 Growing Slower 5
Prices 57.9 55.7 + 2. 2 Increasing Faster 3
Backlog of Orders 53.5 52.0 + 1. 5 Growing Faster 7
New Export Orders 55.0 53.0 + 2.0 Growing Faster 7
Imports 50.5 51.5 - 1.0 Growing Slower 3
Inventory Sentiment 61.0 67.5 - 6. 5 Too High Slower 243
OVERALL ECONOMY Growing Faster 97
Non-Manufacturing Sector Growing Faster 92
Commodities Up in Price: Bacon ( 3); Chicken Breast; Copper Products; Corrugated Boxes ( 4); #1 Diesel Fuel ( 3); #2 Diesel Fuel; Fuel ( 2);
Gasoline; Labor ( 5); Labor — Construction ( 6); Lumber Products — Pine, Plywood and Spruce ( 2); Medical/Surgical Supplies ( 2); Paper ( 3); PVC
Products; Software; and Steel Products ( 9).
Commodities Down in Price: Beef Products; Propane; and Soy Products.
Commodities in Short Supply: IV Solutions; Labor; Labor — Construction ( 17); and Medical Supplies ( 3).
2017 2016 2015
48.9% = Non-Manufacturing Overall
Economy Breakeven Line
50% = Non-Manufacturing Economy
In August, the NMI® registered 55.3 percent, 1. 4 percentage points higher than the
53.9 percent registered in July, indicating continued growth in the non-manufacturing
sector for the 92nd consecutive month. A reading above 50 percent indicates the non-manufacturing sector economy is generally expanding; below 50 percent indicates the
non-manufacturing sector is generally contracting. An NMI® above 48.9 percent, over a
period of time, generally indicates an expansion of the overall economy.
✣Other Services (services such as Equipment & Machinery Repairing; Promoting or Administering Religious Activities; Grantmaking; Advocacy; and Providing Dry-Cleaning & Laundry Services, Personal
Note: The number of consecutive months the commodity is listed is indicated after each item.