Economic activity in the US nonmanufacturing expanded at the fastest pace in almost a year and a half, according to the Institute for Supply Management’s nonmanufacturing index released today.

ISM’s nonmanufacturing index rose in February to a reading of 57.6 from January’s reading of 56.5. This is the highest reading since October 2015 and represents continued growth in the nonmanufacturing sector at a slightly faster rate.

Readings above 50 indicate growth.

The employment portion of the index edged up to a reading of 55.2 in February from January’s reading of 54.7.

Bloomberg reported the reading exceeded the median forecast of its survey of economists, which called the gauge to hold at the previous month’s level. “There’s confidence out there, there is capital reinvestment happening, there’s expansion, there’s sales growth,” Anthony Nieves, chairman of the ISM nonmanufacturing survey, said on a conference call with reporters. “For the most part, the majority have indicated that there’s this positive outlook on the economy and business moving forward.”