USD Retreats as US Manufacturing Leans on the Negative Side
Skerdian Meta • 1 min read
The manufacturing sector has been suffering across the globe as a result of the trade war. After the round of PMI manufacturing reports we saw earlier on today, traders got another confirmation that this sector is suffering as it is in contraction all countries.
In the US, this sector has been performing a bit better. the slowdown started later and it is still in expansion. Although, it is getting weaker. Have a look for yourself in the table below which shows the details as well:
|US Final Manufacturing PMI||50.4||50.0||50.0|
|US ISM Manufacturing PMI||51.2||52.0||51.7|
|ISM Manufacturing Prices Paid||45.1||49.1||47.9|
|ISM Manufacturing Employment||51.7||54.7|
|ISM Manufacturing New Orders||50.8||50|
As you can see, most figures are negative, particularly the ISM manufacturing which is the most important. Prices paid and employment are also lower, but a good sign is the increase in the new orders, which mean that the activity might pick up in the coming months as incoming orders increase. But, the slowdown is evident and the USD has lost some ground in the last hour or so. USD/JPY is now more than 100 pips lower from the highs it made last night.