ASIA-PACIFIC Trading Newsletter

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UK PURCHASING MANAGER INDEX SERVICES

Friday Notes - ECB – caught between rising inflation fears and persisting growth risks by HVB Group

The September decline in services PMI was less than expected, showing so far some resilience to the ongoing dislocation in money markets and leaving the average for Q3 only slightly below the level for Q2. However, we think that the full impact of the ongoing dislocation in money markets still remains to be felt in Q4, and we are penciling in a further decline in the October services PMI to 55.7. The prices charged component is also likely to edge down.

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US FACTORY ORDERS

US Factory Orders increase in September against expectations (FXstreet.com)

Factory orders have increased in the United States in September against the expert's forecasts of a second consecutive decrease, according to data released by the US Commerce Department.

• Read the Manufacturers' Shipments, Inventories and Orders (M3) report at U.S Census Bureau
• DATA SNAP: US Sep Factory Orders Rise Unexpectedly (Dow Jones)
• US Factory Orders increase to 0.2% in Sep from −3.5% in Aug (FXstreet.com)
• Table Of Data On Factory Orders From Commerce (Dow Jones)

US NONFARM PAYROLLS

US: Labour market still alive and kicking by Danske Bank A/S

The October labour market report delivered a relatively encouraging message, indicating that the US labour market is still alive and kicking. The report showed that the US economy created 166K news jobs in October, while the previous two months saw a net loss of 10K. Moreover, the unemployment rate held relatively steady, posting a 4.73% reading − marginally up from 4.70%.

• Read the Employment Situation Summary report at Bureau of Labor Statistics
• Forex − Dollar gets modest boost from US jobs data (Thomson Financial News)
• US October non−farm payrolls up 166,000, unemployment rate steady at 4.7 pct (Thomson Financial News)
• US non−farm employment increases higher than expected in October (FXstreet.com)

Friday Notes - Fed: The first cut was the deepest by HVB Group

Canada NET CHANGE IN EMPLOYMENT

Canada Dollar Rallies To New Record High On Jobs Data (Dow Jones)

The Canadian dollar rallied to a new record high early Friday morning after the release of unexpectedly robust jobs data for October. The U.S. dollar dropped sharply to a low of C$0.9386, according to electronic trading system EBS, after news that the Canadian economy created 63,000 jobs in October, significantly exceeding the roughly 11,000 forecast by economists.

• Read the Labour Force Survey report at Statistics Canada
• Employment continues growing in Canada in October (FXstreet.com)
• Canada Oct Unemployment Rate edges down to 5.8%; 63,000 jobs created (FXstreet.com)

EMU PMI MANUFACTURING INDEX

Euro Zone's PMI Manufacturing Index decreases in October (FXstreet.com)

Manufacturing activity continued growing in the Euro Zone in October, although at a slower pace than in previous months, according to the latest PMI manufacturing report.

• Ntc Research Homepage
• Euro−Zone October Mfg PMI 51.5 Vs 53.2 In Sep (Dow Jones)
• EU PMI Manufacturing Index down to 51.5 in Oct from 53.2 in Sept (FXstreet.com)

Germany PMI MANUFACTURING INDEX

German Oct manufacturing PMI 51.7 points; consensus 53.5 − sources (Thomson Financial News)

The German purchasing managers' index for manufacturing dropped to 51.7 points in October from 54.9 points in September, and lower than expected, market sources said.

• Ntc Research Homepage
• Germany Oct PMI Manufacturing Index falls to 51.7 vs 54.9 in Sept (FXstreet.com)