On a day dominated by manufacturing PMIs, arguably the biggest of them all has shown the worst reading with the ISM data for November failing to show a recovery that had been hoped for.
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ISM Manufacturing PMI: 48.1 vs 49.2 exp. 48.3 prior
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Employment: 46.6 vs 48.3 exp. 47.7 prior
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New orders: 47.2 vs 49.1 prior
The headline data extends the run to 5 consecutive misses and also see the index remain firmly below the 50.0 handle which denotes expansion/contraction for the 4th month in a row. In the immediate reaction US yields have tumbled along with the US dollar and stocks while Gold has jumped higher.
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The data is all the more disappointing after the earlier PMI reading beat forecasts (52.6 vs 52.2 exp. 52.2 prior). There now a notable divergence opening up between these two gauges of US manufacturing. Source: XTB Macrobond
Gold has moved up to its highest level of the day after the release, reclaiming the 1460 handle and higher by around $5 since the data dropped. Source; xStation
