The latest report by IHS Markit revealed on Wednesday the seasonally adjusted final IHS Markit U.S. Services Business Activity Index (PMI) stood at 59.8 in February, up from 58.3 in January and higher than the earlier released “flash” estimate of 58.9. The latest reading pointed to the fastest expansion of business activity across the U.S. service sector since July 2014.

Economists had forecast the index to stay unrevised at 58.9.

According to the report, firms linked the February upturn to stronger client demand and a further rise in new business. However, despite further pressure on capacity, service providers recorded only a fractional increase in employment.