The ISM Services PMI for the US fell to 54.4 in October from 56.7 in the previous month,Ā below analystsā expectations of 55.4.Ā āSupplier deliveries continued to slow, at a faster rate in October. Based on comments from Business Survey Committee respondents, growth rates and business levels have cooled. There are still challenges in hiring qualified workers, and due to uncertainty regarding economic conditions, some companies are holding off on backfilling open positions. Supply chain and logistical issues persist but are not as encumbering as they were earlier in the yearā, Anthony Nieves, Chair of the ISM said.
A slowdown was seen in production (55.7 vs 59.1), new orders (56.5 vs 60.6), supplier deliveries (56.2 vs 53.9) and backlog of orders (52.2 vs 52.5). At the same time, employment contracted (49.1 vs 53), new export orders also fell (47.7 vs 65.1) and inventories continued to shrink (47.2 vs 44.1). Also, prices rose at a faster pace (70.7 vs 68.7).
Start investing today or test a free demo
Open account Try demo Download mobile app Download mobile app
ISM Services fell to the lowest level since May 2020. Meanwhile S&P Global's Services PMI final print for October jumped to 47.8 from initial reading of 46.6 but lower than September's 49.3), which is not a good sign for the US economy. Source: Bloomberg via ZeroHedge
Simultaneously factory orders data was released. New orders for US manufactured goods increased by 0.3% in September, picking up from the revised 0.2% increase in August and in line with analystsā estimates. Orders for durable goods rose by 0.4% (vsĀ 0.2% in August) and those of non-durable goods rose by a slower 0.2% (unchanged from the prior month).
EURUSD saw a relatively small reaction to todayās data inflation release. The most popular currency pair continued to trade around 0.9750 level. Source: xStation5
This content has been created by XTB S.A. This service is provided by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr SÄ dowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. XTB S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.
