Investing.com - Service sector activity in the U.S. rose unexpectedly in February, easing concerns over the U.S. economic outlook, industry data showed on Monday.
In a report, the Institute of Supply Management said its non-manufacturing purchasing manager's index rose by 0.5 points to 57.3 in February from a reading of 56.8 in January.
Analysts had expected the index to decline by 0.7 point to 56.1 in February.
On the index, a reading above 50.0 indicates the non-manufacturing sector economy is generally expanding, below 50.0 indicates the sector is contracting.
The New Orders Index increased by 1.8 points to 61.2, while the Employment Index decreased by 1.7 points to 55.7, indicating continued growth in employment, but at a slower rate.
The Prices Index jumped 4.9 points to 68.4, indicating prices increased at a faster rate in February when compared to January.
According to the report, 14 non-manufacturing industries reported growth in February. The majority of comments from the respondents reflect a growing level of optimism about business conditions and the overall economy.
There is a concern about inflation, rising fuel prices and petroleum-based product costs."
Following the release of the data, the U.S. dollar held on to mild losses against the euro, with EUR/USD easing up 0.11% to trade at 1.3214.
Meanwhile, U.S. stock markets turned mixed to higher. The Dow Jones Industrial Average dipped 0.1%, the S&P 500 index declined 0.1%, while the Nasdaq Composite index added 0.05%.
In a report, the Institute of Supply Management said its non-manufacturing purchasing manager's index rose by 0.5 points to 57.3 in February from a reading of 56.8 in January.
Analysts had expected the index to decline by 0.7 point to 56.1 in February.
On the index, a reading above 50.0 indicates the non-manufacturing sector economy is generally expanding, below 50.0 indicates the sector is contracting.
The New Orders Index increased by 1.8 points to 61.2, while the Employment Index decreased by 1.7 points to 55.7, indicating continued growth in employment, but at a slower rate.
The Prices Index jumped 4.9 points to 68.4, indicating prices increased at a faster rate in February when compared to January.
According to the report, 14 non-manufacturing industries reported growth in February. The majority of comments from the respondents reflect a growing level of optimism about business conditions and the overall economy.
There is a concern about inflation, rising fuel prices and petroleum-based product costs."
Following the release of the data, the U.S. dollar held on to mild losses against the euro, with EUR/USD easing up 0.11% to trade at 1.3214.
Meanwhile, U.S. stock markets turned mixed to higher. The Dow Jones Industrial Average dipped 0.1%, the S&P 500 index declined 0.1%, while the Nasdaq Composite index added 0.05%.