The services sector index rose 0.1 to a seasonably adjusted 58.2 last month - its highest level since July 2014. Photo / NZME.
New Zealand's services sector, which accounts for about two-thirds of the economy, was at its most buoyant level in 11 months in June.
The BNZ-BusinessNZ performance of services index rose 0.1 to a seasonally adjusted 58.2 last month - its highest level since July 2014, and extending a run of
continuous expansion since October 2009. All of the five sub-indices were above the 50 reading that separates contraction from expansion.
The improved performance in the services sector comes after a similarly upbeat gauge of the manufacturing sector last week. The BNZ-BusinessNZ performance of manufacturing index rose to a seasonally adjusted 55.2 - the highest level since February with all components in expansion.
"Whether parsed by region, industry type, or firm size, every bit of the PSI was in expansion mode, which is rare," said Bank of New Zealand senior economist Craig Ebert.
"Combined with the improved PMI reading for June, the latest PSI paints a picture of an economy expanding robustly, probably a little better than average."
