OctaFX | OctaFX Forex Broker
Open trading account
Back

US ISM: A disappointing report – ING

FXStreet (Córdoba) - According to James Knightley, Senior Economist at ING the ISM report was a disappointing report but if tomorrow’s NFP shows good numbers, the Federal Reserve could still hike rates before year-end.

Key quotes:

“Given we have payrolls tomorrow we at least have the employment component at 50.5 remaining in growth territory (above 50), but even this is down on August. Weaker external demand is a key story with the new export orders series firmly in contraction territory at 46.5 - The China slowdown and dollar strength are clear issues here.”

“This is a disappointing report, but we have to remember that the manufacturing sector only directly accounts for around 15% of economic activity and everything else seems to be doing reasonably well.”

“Assuming we are right and we get a 200k+ payrolls number tomorrow and average earnings pick up to 2.4%YoY from 2.2%YoY and there is still a strong likelihood of a Fed rate hike before year-end.

Wall Street begins October on a weak note, Euro Stoxx 600 erases gains

The US stocks turned lower on the first trading day of the month after the data in the US showed the weekly jobless claims spiked last week and the manufacturing activity cooled in September.
Read more Previous

United States EIA Natural Gas Storage change came in at 98B below forecasts (101B) in September 25

United States EIA Natural Gas Storage change came in at 98B below forecasts (101B) in September 25
Read more Next
Start livechat