In August, the US service sector expanded at its fastest pace in six months, thanks to strong demand and a rebound in commercial activity. According to data released by the American Association for Supply Management on Thursday, the service sector index rose 1.3 points to 55.4 in August, the highest level since February, and higher than the median expectations of economists in the Bloomberg survey. An index above 50 means the industry is expanding. The growth rate of new orders accelerated to the highest level since early 2023, and corporate activity indicators rose to the strongest level since 2022. Unfinished orders expanded for the seventh month in a row.

In August, the US service sector expanded at its fastest pace in six months, thanks to strong demand and a rebound in commercial activity. According to data released by the American Association for Supply Management on Thursday, the service sector index rose 1.3 points to 55.4 in August, the highest level since February, and higher than the median expectations of economists in the Bloomberg survey. An index above 50 means the industry is expanding. The growth rate of new orders accelerated to the highest level since early 2023, and corporate activity indicators rose to the strongest level since 2022. Unfinished orders expanded for the seventh month in a row.