by Calculated Risk on 6/05/2007 01:48:00 PM

From Rex Nutting at MarketWatch: Services growing at best pace in a year

The nonmanufacturing side of the U.S. economy grew at the best pace in a year in May, the Institute for Supply Management reported Tuesday.

The ISM nonmanufacturing index rose to 59.7% from 56% in April. It's the highest since April 2006.

This follows an improvement in manufacturing: Factories see higher orders, production and prices

More U.S. manufacturers were expanding their businesses in May than at any time in the past year, the Institute of Supply Management reported Friday.

The ISM index rose to 55% from 54.7% in April. It's the highest since April 2006.

These reports probably mean Q2 will look much better than Q1.