Economy: ISM Non-Manufacturing Index (NMI®) for January 2017

Earlier today, the Institute for Supply Management (ISM®) released their Non-Manufacturing Index (NMI®) for January 2017:

Predicted: 57.0%
Actual: 56.5%

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The NMI is a reliable barometer of the U.S. services sector; above 50% implies expansion, while a reading below 50% implies that the services sector contracted.

Service categories include: Agriculture, Forestry, Fishing + Hunting; Mining; Utilities; Construction; Wholesale Trade; Retail Trade; Transportation + Warehousing; Information; Finance + Insurance; Real Estate, Rental + Leasing; Professional, Scientific + Technical Services; Management of Companies + Support Services; Educational Services; Health Care + Social Assistance; Arts, Entertainment + Recreation; Accommodation + Food Services; Public Administration; and Other Services (services such as Equipment + Machinery Repairing; Promoting or Administering Religious Activities; Grantmaking; Advocacy; and Providing Dry-Cleaning + Laundry Services, Personal Care Services, Death Care Services, Pet Care Services, Photofinishing Services, Temporary Parking Services, and Dating Services).

The previous month's non-manufacturing NMI reading was 56.6% (revised.)

Here's a sampling of comments from survey participants:

"Demand is relatively flat; down about 2 percent from December to January."
(Agriculture, Forestry, Fishing and Hunting)

"Strong second half. Exceeded 2016 revenue and earning targets. Q1 [is] looking strong so far. Cautiously optimistic for 2017."
(Finance and Insurance)

"Current conditions stable. Uncertainty with Trump presidency and how it is going to impact health care."
(Health Care and Social Assistance)

"The overall outlook from our perspective is that we are seeing an uptick in activities, both in the energy sector and the construction side of our business."
(Mining)

"Market conditions are good with lower prices on most animal proteins, grains, and dairy prices. Butter still uncertain with increased demand [for] natural fats."
(Accommodation and Food Services)

"A lot of activity to start the year. Companies reassessing their contracts and looking for savings whenever they can get it."
(Professional, Scientific and Technical Services)

"The outlook for future business has improved, but there is still a degree of uncertainty regarding how the new administration will execute."
(Public Administration)

"Continued optimism concerning the business environment in the near term."
(Management of Companies and Support Services)

"Year-over-year for this period, we are down slightly, but that is primarily due to the mild winter we are experiencing. Outlook for upcoming season is very positive."
(Wholesale Trade)