US: ISM Non-Manufacturing weakens but not as much as the manufacturing index - Wells Fargo

Matías Salord FXStreet

The US ISM Non-manufacturing Index dropped in December from 60.7 to 57.6. The non-manufacturing index did not weaken as much as the manufacturing index, which suggests that the overall economy continues to expand at a solid rate, explained Jay Bryson, economist at Wells Fargo.

Key Quotes:

“December’s reading was a bit softer than expected, but it did not exhibit the same falloff as the ISM manufacturing index did in December.”

“The prices paid component receded to an 18-month low of 57.6, which indicates that inflationary pressures may be subsiding somewhat.”

“Trade wars tend to have less effect on the service sector than on the factory sector.”

Author

Matías Salord

FXStreet

Matías started in financial markets in 2008, after graduating in Economics. He was trained in chart analysis and then became an educator. He also studied Journalism. He started writing analyses for specialized websites before joining FXStreet.

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