U.S. services firms expanded at a record pace for the month of September, growing in both production and hiring, in another sign of strength for the American economy. Trump has been hard at work Making American Great Again and it’s working!
The Institute for Supply Management tells us its services index hit 61.6 in September, up from 58.5 in August, and is the highest in records going back to 2008. Anything about 50 signals mad wild crazy growth.
The snowflakes who failed to understand Trump’s end game plan expected the index to “fall slightly” in the month of September. Once again, the snowflakes and the economists were proven wrong. Again. Seventeen services industries reported growth last month, and none declined. The services sector enjoyed faster growth in just about every activity — production, new orders, hiring, prices, export orders.
Our healthy economy has been helped by the tax cuts. “Activity is still being boosted by the substantial fiscal stimulus enacted earlier this year,” Andrew Hunter, U.S. economist at Capital Economics, wrote in a research note earlier this morning. No one suspected this rate of growth was sustainable, but it is. Anthony Nieves, chair of the ISM’s services survey committee, says the index was boosted partly by local governments increasing spending before the end of the year.
From April through June, the U.S. economy grew at a 4.2 percent annual pace, fastest in nearly four years. This is higher than at any time in the past three years. Consumer spending on services rose at a 3 percent rate, fastest in more than three years.