The index US ISM manufacturing PMI is down 1.2 points in November, moving into contraction territory at 49 points compared to 50.2 in October. The result disappoints the figure of 49.8 expected by the consensus. This is the lowest score seen in the indicator in 30 months, specifically since May 2020.
The employment component has fallen to 48.4 from 50, worsening the 49.3 forecast. This is his worst result in five months. Meanwhile, the prices paid component has fallen to its lowest level in two and a half years, sliding to 43 compared to the previous 46.6, without reaching the estimated 47.5.
Finally, the ISM manufacturing new orders index has fallen to 47.2 compared to 49.2 the previous month, below the expectations of 48 set by experts.
EUR/USD reaction
The EUR/USD has responded to the data with an upload to 1.0533, new five-month high. The pair has recorded a sharp rise of close to 100 pips in the last two hours, influenced by statements by Fed members regarding dovishness in rate hikes and by US data. At time of writing, the pair is trading above 1.0503, gaining 0.92% daily.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
