Another strong report from the US today, this time factory orders. The overall reading was better than expected at +0.7%. Forecasts had called for a small slide. In conjunction with the ISM Manufacturing Index for December that we saw yesterday its further proof that manufacturing activity is quite healthy in the US.Two key points about today�s data. Our barometer for capital investment � capital orders excluding defense and aircraft � rose by 2.6%, after falling 3.2% in October. That shows companies are confident enough in the economy to place more orders to satisfy increasing demand. Second, airplanes took a good chunk out of the headline figure as transportation orders fell 11.1% after a 6.2% drop in October. Excluding transportation, orders were 2.4% higher.
The news helped the EUR/USD to turn around earlier gains as the pair moved in favor of the USD. That undermined the EUR against other key rivals as well.
Source: Fxstreet.com
No comments:
Post a Comment