Services Sector Expands at Fast Clip

The giant U.S. services sector expanded at its fastest rate on record in January, but the growth failed to create many jobs, a survey by the Institute of Supply Management showed.

ISM’s non-manufacturing index jumped to 65.7 in January from 58 in December. A number above 50 indicates growth.

The survey’s employment index edged lower in January, to 53.4 from 54, while demand for new orders accelerated, with that index rising to 64.9 from 59.5.

A separate report from the Commerce Department showed factory orders rose 1.1% in December after falling an upwardly revised 0.9% in November.

From Reuters