The U.S. economy continues to show signs of strong growth, as the service sector expands and factories continue to see high demand. The Institute for Supply Management (ISM) reported that its service-sector index grew from 60.5 in March to 63 in April. Any reading above 50 points indicates growth in the service sector. Likewise, the Commerce Department reported that factory orders rose by 4.2 percent in March, a significant increase over the last quarter, and the best performance since May 2005. Orders were up for both durable goods like aircraft, automobiles and machinery. With an ISM report last Monday that showed strong increases in demand for both durable and nondurable goods—like food products and apparel—the latest reports indicate continued strength throughout the U.S. economy. The economy grew 4.8 percent in the first quarter of this year, according to government reports.
