US: Markit Manufacturing PMI edges higher to 59 in March vs. 59.3 expected

• US Markit Manufacturing PMI continued  to push higher in March.
• US Dollar Index clings to daily gains around 92.50.

The IHS Markit’s Manufacturing PMI edged higher to 59 in March from 58.6 in February, revealing that the business activity in the manufacturing sector continued to expand at a robust pace. This reading came in slightly lower than the market expectation of 59.3.

Further details of the publication revealed that the Services PMI rose to 60 from 59.8 and matched analysts’ estimate.

Commenting on the report, “another impressive expansion of business activity in March ended the economy’s strongest quarter since 2014,” noted Chris Williamson, Chief Business Economist at IHS Markit.

“The vaccine roll-out, the reopening of the economy and an additional $1.9 trillion of stimulus all helped lift demand to an extent not seen for over six years, buoying growth of orders for both goods and services to multi-year highs,” Williamson added.

Market reaction

This report doesn’t seem to be having a significant impact on the greenback’s performance against its rivals. As of writing, the US Dollar Index was up 0.22% on the day at 92.53.