US: ISM Manufacturing PMI retreats to 60.8 in October vs. 60.6 expected
- October ISM Manufacturing PMI came in slightly better than the market expectation.
- US Dollar Index holds above 94.00 after the data.
The economic activity in the US manufacturing sector expanded at a pace in October with the ISM's Manufacturing PMI arriving at 60.8. This reading came in lower than September's print of 61.1 but surpassed the market expectation of 60.6.
Further details of the publication revealed that the Employment Index edged higher to 52 from 50.2 and the Prices Paid Index jumped to 85.7 from 81.2. Finally, the New Orders Index declined to 59.8 from 66.7.
Commenting on the data, "all segments of the manufacturing economy are impacted by record-long raw materials lead times, continued shortages of critical materials, rising commodities prices and difficulties in transporting products," noted Timothy R. Fiore, Chair of the Institute for Supply Management Manufacturing Business Survey Committee. "However, panel sentiment remains strongly optimistic, with four positive growth comments for every cautious comment."
Market reaction
The US Dollar Index edged slightly higher after this report and was last seen trading flat on the day at 94.13.
Author
Eren Sengezer
FXStreet
As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.
