Surprising the market, the Chicago Purchasing Manager index rose above the consensus estimate printing a 62.1 read for the month of September, defeating the four month trend at 58.25. Attributed to the rise above the 57.1 seen last month was a handful of increases mostly in the production and new orders components, boosting some near term manufacturing growth speculation for the Chicago region. However, continued pessimism is likely to follow the greenback as the employment component and declined by 7 percent to 50.8 from a previous 55.1 while the prices paid component declined to a 69.8 from 75.2. Indicative of lower inflationary pressures, the prices paid section is likely to weigh on further confirmation of a definitive end to the Fed tightening cycle. Traders were surprisingly little effected by the news as fluctuations subsequent to the release were minimal.
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