TEMPE, Ariz., Jan. 6 (UPI) -- U.S. business activity in the non-manufacturing sector gained in December, in spite of fears of a widespread downturn, a research group said.
"Everyone is scared. Prices for most materials (are) declining rapidly," the Institute for Supply Management's monthly business activity report said, quoting an anonymous respondent to the monthly survey.
"Respondents' comments reflect concern about the overall decline in business, lack of funding, budget cuts and lower employment," ISM Non-Manufacturing Business Survey Committee Chairman Anthony Nieves said.
In December, however, the headline purchasing managers' index gained 3.3 percentage points to 40.6, indicating the recent rate of contraction had slowed.
Numbers below 50 indicate a contraction in business activity.
The new orders index gained in December, up 4.5 percentage points. The employment index also rose, up 3.4 percentage points to 34.7.
Prices declined in the month, down 0.6 percentage points to 36.
