US Non-Manufacturing Remains Muted in May - Forex News by FX Leaders

US Non-Manufacturing Remains Muted in May

Posted Wednesday, June 3, 2020 by
Skerdian Meta • 2 min read

US ISM non-manufacturing report was released a while ago. This sector fell in contraction in April and remained in contraction in May. But the contraction is not as deep, specially compared to other countries where services dived to almost dead in the last two months. Below is the non-manufacturing report for May, as well as factory orders for April.

US ISM Non-Manufacturing Report, May 2020

  • ISM non-manufacturing index for May 45.4 vs. 44.4 estimated
  • The prior report was at 41.8
  • Business activity 41.0 vs 26.0 last month
  • New orders 41.9 vs 32.9 last month
  • Employment 31.8 vs 30.0 last month
  • Inventory 48.0 vs 46.9 last month
  • Price is paid 55.6 vs. 55.1 last month
  • Backlog of orders 46.4 vs. 47.7 last month
  • Supplier deliveries 67.0 vs. 78.3 last month
  • Inventory sentiment 55.1 vs. 62.6 last month
  • New export orders 41.5 vs. 36.3 last month
  • Imports 43.7 vs. 49.3 last month
Apart from the supplier deliveries, inventory sentiment and prices paid, the other major components remain below the 50.0 level.  The composite index was below the 50 level for the 2nd consecutive month. The high for the index reached 57.3 in February. The low was the 41.8 reading in April.
The good news is that the business activity index increased to 41.0 from 26.0 last month was the biggest increase in records back to 1997. The new orders a jump from 32.9 to 41.9 was also a step in the positive direction although both measures remain in the contractionary phase below the 50.0 level. In comparison, the manufacturing composite index came out last week at 43.1. New orders in the manufacturing index stayed depressed at 31.8 (vs 32.9 in April). Employment was at 32.1 vs. 30.0 in the prior month.

US Factory Orders, April 2020

  • US factory orders -13.0% vs. -13.4% estimate
  • Prior month revised to -11.0% from -10.3%
  • Factory orders ex transportation -8.5% vs. -4% revised (was at -3.7%)
  • Durable goods orders final -17.7% vs. -17.2% estimate
  • Prior report Durable goods from May 28th
  • Durable goods capital goods orders non-defense ex air -6.1% vs. -5.8% in the preliminary report
  • Capital goods shipments non-defense ex air -5.7% vs. -5.4% in the preliminary report
Check out our free forex signals
Follow the top economic events on FX Leaders economic calendar
Trade better, discover more Forex Trading Strategies

About the author

Skerdian Meta // Lead Analyst
Skerdian Meta Lead Analyst. Skerdian is a professional Forex trader and a market analyst. He has been actively engaged in market analysis for the past 11 years. Before becoming our head analyst, Skerdian served as a trader and market analyst in Saxo Bank's local branch, Aksioner. Skerdian specialized in experimenting with developing models and hands-on trading. Skerdian has a masters degree in finance and investment.
Related Articles
A growing number of leading Wall Street analysts to predict that 2020 will be the year to represent their American counterpart for the...
2 days ago
Comments

Leave a Reply

avatar
  Subscribe  
Notify of