(Finance) – The American tertiary sector is slowing down and moves into the contraction phase. According to the survey conducted byInstitute for Supply Management among purchasing managers of service companies, the non-manufacturing ISM rose to 49.4 points in March, from 51.4 points in the previous month, also resulting lower than market expectations (52 points).
It should be remembered that an index lower than 50 denotes a phase of business contraction and a prevalence of pessimism among company purchasing managers.
Looking at individual componentsthe one oncompany activity slips to 50.9 points, while that on orders file at 52.2 points. That of theoccupation it goes to 45.9 points from 48.5 (expected 49). It also grows pricing component to 59.2 points from 53.4 (expected 55).