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Four reports Thursday show the U.S. economy is still recovering, albeit it slowly. The reports: • The Institute for Supply Management said its Non-Manufacturing Index registered 55.4% in May, the same as April and March. A reading above 50 indicates growth in the services sector. The report is considered a key gauge for the health of the jobs market because the service sector accounts for 80% of workers, outside of farm workers. • Orders to U.S. factories increased in April as a surge in demand for commercial aircraft offset weakness in other areas. |
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• First-time claims for unemployment benefits dropped 10,000 the week ended May 29, to a seasonally adjusted 453,000, according to the Labor Department. • Revised figures show productivity grew at a slower rate in the first three months of the year than previously thought, a possible sign that businesses are reaching the limits of their ability to boost output with fewer workers.
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