US Service Providers Expand at Modest Pace as Employment Slows

US service providers barely expanded in June, helped by a pickup in business activity and bookings even as an index of employment contracted the most in three months.

The Institute for Supply Management’s index of services rose nearly a point last month to 50.8, the group said Thursday. In May, the gauge showed the first contraction in nearly a year. Readings above 50 indicate expansion, and the latest figure was in line with a Bloomberg survey of economists.