We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
EUR/USD
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
GBP/USD
Bearish
USD/JPY
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Mixed
Oil - US Crude
Bullish
Bitcoin
Bearish
More View more
Real Time News
  • Precious Metals Update: #Gold 1,620.00 (+0.52%), #Aluminum 1,720.00 (+0.00%), and #Copper 5,770.00 (-0.05%) [delayed]
  • $USDJPY ripped hard yesterday, gaining 1.35% and notching the largest one-day move since August. The question is, is it sustainable? Find out from @PaulRobinsonFX here: https://t.co/SBTszgiRVv https://t.co/gBUr3yBPjO
  • 🤷‍♂️😅 https://t.co/LuxFs9qYpy https://t.co/WNTzcueK1H
  • $USDMXN strengthening to test monthly high https://t.co/B6LLJuyPdr
  • US Dollar Price Action Setups: EUR/USD, USD/CAD, USD/JPY https://www.dailyfx.com/forex/market_alert/2020/02/20/US-Dollar-Price-Action-Setups-EURUSD-USDCAD-USDJPY-JS.html https://t.co/bssO53vHWy
  • A breakout in #gold prices is underway with the rally now targeting the first resistance hurdle at channel resistance. Get your $XAUUSD technical analysis from @MBForex here: https://t.co/Q3gWCTX4Gv https://t.co/qm6NZR4Pv9
  • $AUDUSD pushes deeper towards 2009 lows https://t.co/oNNCobmRxW
  • Commodities Update: As of 19:00, these are your best and worst performers based on the London trading schedule: Gold: 0.46% Oil - US Crude: -0.00% Silver: -0.46% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/KAL8UO1FUA
  • Fed's Barkin: - Think we are headed against globalization - Challenges Euro has faced show decline in globalization $EUR
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 96.94%, while traders in France 40 are at opposite extremes with 78.74%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/VY1iqzU5wz
U.S. Dollar Drops as ISM Manufacturing Falls But Beats Expectations

U.S. Dollar Drops as ISM Manufacturing Falls But Beats Expectations

2011-09-01 14:33:00
Christopher Vecchio, CFA, Sr. Currency Strategist
Share:

THE TAKEAWAY: U.S. ISM Manufacturing Surprises > Sector Continues Expansion > USDollar Index Falls

Risk rallied after a report today issued by the Institute for Supply Management showed that manufacturing in the United States did not fall as much as expected. The ISM’s manufacturing index dropped to 50.6 in August from 50.9 in July, though it remained above the 48.5 median forecast, according to a Bloomberg News survey. Earlier today, similar indexes showed that manufacturing entered a cycle of contraction in Europe, while the Chinese reading was near its lowest reading in 29 months.

USD/CAD 1-minute Chart: September 1, 2011

U.S._Dollar_Drops_as_ISM_Manufacturing_Falls_But_Beats_Expectations_body_Picture_10.png, U.S. Dollar Drops as ISM Manufacturing Falls But Beats Expectations

Charts created using Strategy Trader– Prepared by Christopher Vecchio

Following the release, the USD/CAD pair initially moved lower, dropping by approximately 20-pips, before rallying by 30-pips. At the time this report was written, the USD/CAD had begun to fall once more, as markets took the data favorably despite some significantly discouraging figures within the report.

A closer look at the data necessarily suggests that market participants are frantically looking for reasons to be optimistic about the economy. The actual print beat expectations, but the reading still showed that the ISM’s factory index fell from July. Among the components of the report, the employment, exports and production segments slid further into a state of contraction.

With the employment component falling, as well as worse-than-expected ADP employment figures from yesterday, tomorrow’s nonfarm payrolls print could easily surprise to the downside.

Written by Christopher Vecchio, Currency Analyst

To contact the author of this report, please send inquiries to: cvecchio@dailyfx.com

Follow Christopher Vecchio on Twitter: @CVecchioFX

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.