Richmond Fed: Service sector firms report improved activity in August

"Reports from service sector firms in the Fifth District improved notably in August, according to the latest survey," the Federal Reserve Bank of Richmond said on Tuesday.

Key quotes:

• The revenues index for all service sector firms rose from 12 in July to 22 in August, surpassing the June mark of 19.
• The increase was driven by an increase in the revenues index for non-retail services firms; the revenues index for retail firms softened somewhat.
• The index for employment in the overall service sector remained high at 22 in August while the average wage index posted a reading of 23 — down from 30 in July.
• The index for expected demand during the next six months also strengthened.