Expansion at U.S. Service Industries a Good Sign for Economy

Service providers such as real-estate firms and restaurants expanded in March at about the same pace as a month earlier, a reassuring sign of support for a U.S. economy that’s been held back by headwinds in manufacturing.

The 56.5 reading in the Institute for Supply Management’s non-manufacturing index was in line with last year’s average and little changed from the prior month’s 56.9, the Tempe, Arizona-based group reported Monday. A gauge above 50 shows growth and the March reading matched the median estimate in a Bloomberg survey of economists.