US ISM non-manufacturing dropped to 62.7 in April, down from 63.7, below expectation of 64.3. Business activity/production dropped -6.7 to 62.7. New orders dropped -4.0 to 63.2. Employment rose 1.6 to 58.8. Prices rose 2.8 to 76.8.
The reading indicates services sector grew for the 11th consecutive month, after two months of contraction and 122 months of growth before that.
ISM said: “The past relationship between the Services PMI and the overall economy indicates that the Services PMI for April (62.7 percent) corresponds to a 4.7-percent increase in real gross domestic product (GDP) on an annualized basis.”