U.K. May services PMI edges higher to 55.4

LONDON (MarketWatch) -- Activity in Britain's dominant services sector accelerated slightly in May, according to the Markit/CIPS purchasing managers index released Thursday. The services PMI rose to 55.4 in May from 55.3 in April. Economists had forecast a stronger rise to 55.6. A figure of more than 50 means a majority of managers saw a rise in activity, while a figure of less than 50 indicates contraction. The survey found growth was boosted by higher levels of new business and the release of new products, while several respondents noted positive effects from the comparison with April, which saw activity disrupted due to the ash cloud created by the Icelandic volcano.