The service side of the U.S. economy is still showing strength, ISM data show
The numbers: The service side of the U.S. economy that employs the vast majority of Americans posted somewhat faster growth in May and executives were “mostly optimistic” despite worries about trade tariffs and a shortage of skilled workers
Numbers over 50% are viewed as positive for the economy, and numbers over 55% are considered exceptional. Even a surprisingly strong 3.1% increase in first quarter gross domestic product appears to have been misleading. The gains came largely from temporary improvements in the trade deficit and the level of business inventories. Consumer spending, the engine of the economy, was the weakest in a year.
The ability to find “and retain employees continues to strain the business,” said a construction-industry executive.
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