2 Feb 2015
US manufacturing activity slows in January
FXStreet (Córdoba) - Manufacturing activity in the US expanded in January but slower than expected according to the Institute for Supply Management. The ISM manufacturing index fell from 55.5 to 53.5, reaching the lowest level in 12 months, and below the 54.5 expected. The sector continues to expand but a slower pace. The new orders index dropped sharply from 57.8 to 52.9 creating some worries about the short term while the employment index of the report declined from 56.0 to 54.1.
“For many of these indicators, you have to go back to January last year to see similar lows, which may well point to some issues with seasonal adjustment and an imminent bounce-back. However, with weak activity indicators coming out of countries such as China, we now have to spend another month worrying that the US is being dragged down by overseas weakness in the hope that the data will stage a pick up later this spring”, said Rob Carnell from ING.
Construction spending rises but below expectations
In December, construction spending rose 0.4% to an annual rate of $982 billion, below the 0.7% expected increase. November numbers were revised positively from -0.3% to -0.2%.
“For many of these indicators, you have to go back to January last year to see similar lows, which may well point to some issues with seasonal adjustment and an imminent bounce-back. However, with weak activity indicators coming out of countries such as China, we now have to spend another month worrying that the US is being dragged down by overseas weakness in the hope that the data will stage a pick up later this spring”, said Rob Carnell from ING.
Construction spending rises but below expectations
In December, construction spending rose 0.4% to an annual rate of $982 billion, below the 0.7% expected increase. November numbers were revised positively from -0.3% to -0.2%.