- US PMIs disappoint on both fronts
- Retail sales beats expectations in March
- Philly Fed down again
US PMI indices echoed European counterparts as they signaled a slowdown in the US economy. April manufacturing PMI stayed at 52.4 pts defying expectations for an advance while services index slipped to 52.9 pts from 55.3 – a steep slide indeed.
Retail sales was very strong in March showing 1.6% m/m growth and 1.2% m/m growth excluding autos. This is partly a result of higher gas prices as ex-auto&gas sales was up 0.9% m/m doing not much more than recovering a 0.7% m/m slump in February. While retail sales is up 3.6% y/y this includes inflation and ex-auto&gas sales is flat over the past 4 months. Overall the spending data for March was a relief but not necessarily sign of a spending spree in the US.
Start investing today or test a free demo
Create account Try a demo Download mobile app Download mobile appFinally we also got two minor releases – US weekly jobless claims fell to a fresh 50-year low, this time to 192k – clearly showing that US companies are not shedding jobs but the Philly Fed business indicator for April unexpectedly backtracked to 8.5 pts. – the second lowest reading since the summer of 2016.
Overall the data-mix suggests that while the US economy (especially the consumer) is doing reasonably well for now – it’s on a clear slowing path.
US500 ignored weaker US PMI indicators. Source: xStation5
This content has been created by XTB S.A. This service is provided by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr Sądowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. XTB S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.
