AlQa'dah 9, 1435, Sep 4, 2014, SPA -- The pace of growth in the massive U.S. service sector rose in August to its highest level in nine years, according to an industry report released Thursday. The Institute for Supply Management (ISM) said its services index rose to 59.6 last month from 58.7 in July. The August reading was the highest since August 2005 and was in contrast to economist forecasts for a decline to 57.5. In the ISM report, any reading above 50 indicates expansion in the sector that accounts for 90 percent of U.S. jobs, while a reading below 50 signifies contraction. Fifteen of the 17 tracked industries reported growth last month. Only arts, entertainment, and recreation and mining contracted in August. The report's sub-index of business activity rose to 65.0 in August, the best performance since late 2004. The measure was at 64.2 in July. The employment index also rose, hitting 57.1 in August, the highest since early 2006, from 56.0 in July. The service sector covers businesses including retail, construction, healthcare, and financial services.
