In June, the non-manufacturing ISM rose from 44.0 to 47.0, slightly above the consensus estimate of 46.0. Looking at the details, business activity (49.8 from 42.4), new orders (48.6 from 44.4), backlog of orders (46.0 from 40.0), inventory sentiment (67.0 from 62.5) and employment (43.4 from 39.0) rose significantly and new export orders (54.5 from 47.0) jumped even above 50. Imports rose slightly from 46.0 to 47.0, while supplier deliveries (46.0 from 50.0) and inventory change (45.0 from 47.0) dropped. Also prices paid came out above the benchmark level of 50, for the first time since October 2008. The report provides further evidence that activity is stabilizing in the services sector, especially the improvement in export orders is an encouraging sign.