The Institute for Supply Management’s non-manufacturing business activity composite index was 47.0 in June, up from 44.0 in May, on a seasonally adjusted basis, the group said yesterday.
Economists polled by Thomson Reuters had expected a 45.6 level.
An index reading below 50 signals a slowing economy, while a level above 50 suggests expansion.
The prices paid index, closely watched for signs of inflation, rose to 53.7 from 46.9.