S&P Global commented: “U.S. businesses signaled a broad stagnation in output at the end of the third quarter as manufacturers and service provide
S&P Global commented: “U.S. businesses signaled a broad stagnation in output at the end of the third quarter as manufacturers and service providers alike indicated muted demand conditions.”
According to S&P Global, September performance data showed the worst performance across the private sector since February.
Treasury yields have moved lower after the release of PMI reports. Bond traders take some profits off the table after the recent move. It remains to be seen whether Fed will be less hawkish due to PMI data.
U.S. Dollar Index moved away from session highs as traders reacted to the PMI reports. Profit-taking served as an additional negative catalyst for the American currency.
Gold settled above the $1925 level as traders focused on weaker dollar and falling Treasury yields.
SP500 is moving higher as some traders bet on a rebound after the strong pullback. It should be noted that the rebound is not strong, although PMI reports may provide additional support to stocks. At this point, weak economic data is bullish for stocks as Fed policy outlook is the key catalyst for markets.
For a look at all of today’s economic events, check out our economic calendar.
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