Growth in services sector hits record

The U.S. service industry grew at a record pace in July, according to new data released Wednesday by the Institute for Supply Management (ISM). 

The Services PMI came in at 64.1 percent, an all-time high for the rating and the 14th month in a row that the ISM has recorded an increase. It’s up from 60.1 percent in June and suggests strong growth in the sector. Any reading above 50 percent indicates growth. 

A total of 17 services industries recorded growth, including arts, entertainment and recreation; accommodation and food services; retail trade; and real estate.

It also found industries are increasing their production and business activity, and that new orders and hiring are up.

Services make up the majority of employment in the United States, so the strong support, coming after a series of solid jobs reports, suggests the economy is growing quickly after the pandemic. 

A new monthly jobs report will come out on Friday.