WASHINGTON (MarketWatch) -- U.S. services and other nonmanufacturing companies reported faster growth for August, with a gauge of their activity hitting the highest pace since 2008, according to a survey of senior executives released Thursday. The Institute for Supply Management said its gauge of nonmanufacturers rose to 59.6% last month from 58.7% in July. Economists polled by MarketWatch had expected the August reading to pull back to 57.2%. Readings over 50% indicate an overall expansion. Of the industries tracked by Tempe, Ariz.-based ISM, 15 reported growth last month, while two reported contractions. Also Thursday, ISM reported that its gauge of new orders for nonmanufacturers showed slower growth in August, hitting 63.8%, down 1.1 points from July. Meanwhile, the employment barometer rose 1.1 points to 57.1%, and the gauge of business activity/production rose 2.6 points to 65%.