The Institute for Supply Management issued [its latest survey results] on March 4th that U.S. non-manufacturing expanded at a rate slightly better than expected in February. The ISM stated that “overall, supply managers feel mostly positive about the direction of the economy.” Despite this positive outlook, ISM non-manufacturing members said labor problems at West Coast ports were causing a disruption in supply, stating “Business is good, but waiting and not shipping on time will cost us big time.”
Some economists attributed this weakness to a possible There’s also the weather effect. 181,000 new jobs were created in February according to the ADP jobs report. It is interesting that service-sector activity increased in February despite these supply disruptions.