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Slightly better than expected data out of the US: the ISM Manufacturing PMI came out at 50.1 and prices advanced to 39. Construction spending is up 0.6%. The bad news comes from the employment component – it  dropped to 47.6 points, in contraction territory.  

The US dollar is slightly lower in the initial  aftermath.

Among the other figures, new orders are actually up to 52.9 points and both exports and important are  down.

The ISM Manufacturing PMI was expected to slide to 50 points in October from 50.2 in September. This is exactly the line  separating growth and contraction.

The dollar was slightly lower on the day. After the release, we don’t have extreme movements.

  • EUR/USD was in 1.1035 within the 1.10 to 1.1070 range.
  • GBP/USD was higher around 1.5460 after its own strong UK man. PMI.
  • USD/JPY was around 120.50, holding above the 120 magnet.
  • USD/CAD traded just under 1.31.
  • AUD/USD moved higher after  better than expected data from China, trading at 0.7140.
  • NZD/USD was at 0.6750.

At the same time, construction spending carried expectations for a rise of 0.5% after 0.7% beforehand.

This release is the first release towards Friday’s all important Non-Farm Payrolls. Earlier, Markit’s final manufacturing PMI came out at 54.1, 0.1 above the original publication.

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