Important American data changes the direction of the markets.. It raised gold and dropped the dollar by Investing.com

2024-01-05 16:03:00

© Archyde.com.

Investing.com – Data for the non-manufacturing purchasing managers’ index issued by the Institute for Supply Management (ISM) was recently released, contrary to market expectations. This indicator is considered important in expectations for the coming period, as it gives an overview of the performance of the economy in general and whether it is progressing. Towards stagnation or not.

In cooperation with Economy Academy, we offer you a free webinar in which… Explanation of all InvestingPro tools and features How to use the fair value index, the ProPicks list of investments, see the portfolios of the world’s richest people, and more.

To book the webinar: from here

To contact customer service: from here

Purchasing managers’ index data in the non-manufacturing sector indicate a slowdown in economic activity, which reinforces the occurrence of the soft landing scenario that the Federal Reserve is trying to implement. Therefore, the data was in favor of gold and stocks and not in favor of the dollar.

After the release of the data, gold prices turned significantly higher, following witnessing noticeable losses due to US employment data, which was stronger than expected. This coincides with a shift downward following it was high due to employment data.

Non-manufacturing PMI

The index for December recorded 50.6 points, while expectations were for it to score 52.6 points, and the previous reading was 52.7 points.

The Institute for Supply Management (ISM) Non-Manufacturing Index determines the level of activity of purchasing managers in the services sector, and a reading above 50 indicates expansion.

To obtain a reading of this indicator, purchasing managers determine the level of some elements in this sector, including employment, production, new orders, resource distribution, and inventories. The bullish trend a positive impact on the country’s currency. Currency traders monitor this indicator closely, as purchasing managers, due to the nature of their work, can access data regarding the performance of their companies, which makes this indicator a leading indicator of overall economic performance.

Read also:

Gold and dollar now

It is now rising 0.6% to $2,062 an ounce.

While it rose by 0.9% to $2062 per ounce.

On the other hand, the dollar index fell by regarding 0.33% to the level of 101.79 points.

1704471778
#Important #American #data #direction #markets. #raised #gold #dropped #dollar #Investing.com

Leave a Replay