US Manufacturing PMI Preview: Markets are more upbeat than factories

The Institute for Supply Management (ISM) will issue its purchasing managers’ indexes (PMI) for the manufacturing sector in March on Wednesday April 1 at 14:00 GMT. Joseph Trevisani, an analyst at FXStreet, with the preview.

Key quotes

“The purchasing managers’ index is projected to drop to 45 in March from 50.1. The new orders index is predicted to rise to 50.2 from 49.8. Employment should fall to 45.4 from 46.9. The prices paid index is predicted to decrease to 41.3 from 45.9.”

“Economic data from March and April will be historically grim. While the markets seem increasingly convinced that the recovery will be swift and dramatic, business investment and sector recovery is likely to await more concrete information.”

“As the global situation stabilizes and then improves risk will creep back into the markets and gradually deflate that dollar advantage but it will likely be replaced by the US economy’s faster recovery from the pandemic.”