Daily News: July 5, 2012

U.S. Service Industries Probably Expanded at Slower Pace

Bloomberg reported that service industries in the U.S. probably grew in June at a slower pace, a sign the world’s largest economy is struggling to maintain momentum.

Bloomberg said the Institute for Supply Management’s index of non-manufacturing businesses, covering about 90% of the economy, fell to 53 from 53.7 in May, according to the median forecast of 63 economists surveyed by Bloomberg News. Readings above 50 signal expansion.

Labor Department figures may show little improvement in the labor market, Bloomberg noted. Economists project 385,000 applications for unemployment benefits were filed last week after 386,000 the prior period, according to the Bloomberg survey median. There were 392,000 claims in the week ended June 16, matching the high for the year.

To read the Bloomberg article, click here.