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US service sector growth continues to slow in June
THE US service sector expanded in June for a sixth straight month but growth was at the slowest pace since February, the latest evidence that the economic recovery is cooling.
The Institute for Supply Management (ISM) said its service sector index fell to 53.8 in June from 55.4 in May.
A reading above 50 shows expansion, while a reading below 50 shows contraction.
The data on business activity in the service sector follows weak reports on consumer spending, factory activity, employment and housing.
Analysts said the data released yesterday by the ISM?did not signal that the United States is slipping back into recession – something which has been a persistent fear in the wake of a raft of disappointing data.