US services sector expands at slower pace in September

WASHINGTON (AFP) - The vast US services sector grew at a slower pace in September as hurricanes and high energy prices inflicted pain, a survey showed.
The Institute for Supply Management (ISM) said its index of non-manufacturing activity fell 1.5 points from the previous month to 56.7, a little lower than expected by many analysts.
It was still the 18th consecutive reading above 50 points, indicating expanding activity.
A breakdown showed:
-- Employment rose at a faster pace, with the index gaining 2.1 points from August to 54.6 in September.
-- New orders growth decelerated, easing 0.1 point from to 58.5.
-- Prices climbed at a slower rate, with index falling 2.9 points to 67.1.
-- The backlog of orders rose at a slower rate, declining 0.5 points to 52.5.
Comments provided by executives included: "Business stable but high energy costs bucking growth and profits"; "High fuel prices and fuel surcharges are a concern"; and "Business is steady, however in market segments, particularly in the southern US and particularly in Florida, business is off about 30 percent due to hurricanes."