US: Markit Manufacturing PMI improves to 53.4 in October vs. 53.3 expected
- Markit Manufacturing PMI for the US improved modestly in October.
- US Dollar Index stays in the positive territory above 94.00.
The IHS Markit's Manufacturing Purchasing Managers' Index (PMI) for the US edged higher to 53.4 in October from 53.2 in September to show that the economic activity in the manufacturing sector continued to expand at a similar pace. This reading came in slightly better than the flash estimate and the market expectation of 53.3.
Commenting on the data, “with clues being sought as to whether the economy can sustain its recovery after rebounding from lockdowns, the rise in the PMI in October is encouraging news," said Chris Williamson, Chief Business Economist at IHS Markit. "It’s inevitable that the pace of economic expansion will weaken after the surge seen in the third quarter, but the strength of the PMI hints at a recovery for which the underlying trend continues to strengthen at the start of the fourth quarter."
Market reaction
The US Dollar Index largely ignored this data and was last seen gaining 0.25% on the day at 94.12.
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.
