US Services Sector Slowed in September. Layoffs Accelerated.
ISM's September survey shows a slowing of growth in the US's dominant "services sector," with bad news on employment, inflation, and "new orders" indicators included in the report.
The services sector accounts for around 80% of the US economy.
Not surprisingly, John Challenger's layoff report showed an increase in job cuts. Reuters reports:
U.S. firms planned slightly more layoffs in September compared to August, led by the struggling airline sector and a consolidating retail industry, a report said on Wednesday.
Employment consulting firm Challenger, Gray & Christmas Inc. said employers announced 71,836 planned layoffs in September, 33 percent lower than September 2004, but more than the 70,571 announced in August.
Looks like the skinny manufacturing sector hogged all the good news in September.