News & Analysis at your fingertips.

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.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Bearish
Oil - US Crude
Mixed
Wall Street
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
Gold
Mixed
GBP/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
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
More View more
Real Time News
  • Looking for a new way to trade reversals? One of the most used reversal candle patterns is known as the Harami. Like most candlestick formation patterns, the Harami tells a story about sentiment in the market. Get better with trading reversals here: https://t.co/rfwUWJfbz9 https://t.co/SyroornFf5
  • MACD who? The Moving Average Convergence Divergence (MACD) is a technical indicator which simply measures the relationship of exponential moving averages (EMA). Find out how you can incorporate MACD into your trading strategy here: https://t.co/ZNs4QhQGQ6 https://t.co/KrMcyZZqO7
  • The Reserve Bank of Australia (RBA) rate decision may spark a bullish reaction in $AUDUSD as the central bank is expected to retain the current course for monetary policy. Get your market update from @DavidJSong here: https://t.co/WbcR9ER0qT https://t.co/TynsqCtPQ6
  • Gold has broken below a critical support confluence we’ve been tracking for months now and the risk remains for further losses while below this threshold in the weeks ahead. Get your $XAUUSD market update from @MBForex here:https://t.co/xgN2obaIWR https://t.co/H71ufPNkPg
  • Knowing how to accurately value a stock enables traders to identify and take advantage of opportunities in the stock market. Find out the difference between a stock's market and intrinsic value, and the importance of the two here: https://t.co/QszmdZFxlk https://t.co/Evr5KgUjVo
  • $GBPUSD corrects from stretched valuations, however, positioning clear is likely to entice dip-buyers. Get your market update from @JMcQueenFX here: https://t.co/sfFdBx9pN6 https://t.co/j6nnry65SW
  • Did you know a Doji candlestick signals market indecision and the potential for a change in direction. What are the top five types of Doji candlesticks? Find out https://t.co/c51s3IBcEu https://t.co/oQrOpYINOj
  • GDP (Gross Domestic Product) economic data is deemed highly significant in the forex market. GDP figures are used as an indicator by fundamentalists to gauge the overall health and potential growth of a country. Learn use GDP data to your advantage here: https://t.co/Yl9vM7kO6a https://t.co/LSVPlus0vv
  • There’s a strong correlation between interest rates and forex trading. Forex is ruled by many variables, but the interest rate of the currency is the fundamental factor that prevails above them all. Learn how interest rates impact currency markets here: https://t.co/J0EPMD2Cfi https://t.co/rPd6B5KzuI
  • Time-cycle analysis suggests that the Japanese Yen could slide significantly lower against its major counterparts. Key levels for AUD/JPY, EUR/JPY and GBP/JPY. Get your market update from @DanielGMoss here:https://t.co/WPq4Z9zzEw https://t.co/VzVLrBbL9q
Will Robust Manufacturing ISM Index Bolster US Risk Appetite?

Will Robust Manufacturing ISM Index Bolster US Risk Appetite?

Richard Dvorak,

Talking Points:

  • Hiring improved on strong demand for new orders
  • Inflation moderated despite rising labor, raw material input costs
  • Business optimism falls citing unsustainable growth trend

A strong reading from the Markit US ISM Manufacturing Index this morning may further risk-taking appetite following favorable developments over the weekend at the G-20 summit. November’s index notched 59.3 compared to 57.7 a month prior and beat survey expectations of 57.5.

The healthy report shored up confidence in the US economy as investors grow increasingly anxious over slowing growth prospects and how much life is left in the bull market. The ISM Manufacturing Index, which is a closely watched leading indicator due its timely release relative to other economic data, provides information on the manufacturing sector that makes up over 10 percent of GDP in the United States.

The two components of the index gauge inflation and labor conditions which both improved from prior readings. This dampens concerns raised about the global economy after several lackluster reports on manufacturing have been released out of the Eurozone recently. The above-trend reading out of the US for November helped reassure markets as new orders rose at the fastest pace in six months providing encouragement that consumer demand remains robust.

US manufacturing ism vs S&P500 price chart

To meet demand for new orders, hiring in the manufacturing sector has grown at the second fastest pace this year. Increasing costs may begin to take its toll on the economy’s performance, however. Aside from labor, raw material input costs have been on the rise as fear of further tariffs from an escalating trade war with China induced stockpiling. Although costs are trending up, the rate of inflation was lower than it has been as of late. This is reflected in the low November ISM Prices Paid Index of 60.7 vs 70.0 expected compared to 71.6 in October.

On a less bright note, manufacturer business optimism for 2019 fell to the lowest level in over a year with only 3 percent of reporting companies expecting output to be higher one year from now citing the sustainability of current growth. After a strong gap up in early trading, US equities have been losing momentum following the report.

S&P500 1 minute price chart

--Written by Richard Dvorak, Junior Analyst for DailyFX.com

-- Follow on Twitter @RichDvorakFX

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

DISCLOSURES