The dollar fell yesterday on poor non-manufacturing figures, which dropped 6.6 percentage points. Whilst the figure remains in expansion territory at 52.6, the fall marks a significant slow-down and was the lowest reading since August 2016.
Combined with poor manufacturing figures earlier in the week, the figures confirm that tariffs and a weakening global economy are taking their toll. These disappointing figures possibly increase the chance of an interest rate cut this month.
Today, the release of Non-Farm Payrolls will also hint at the Fed’s next move. They are expected to show that 165,000 new jobs were created in September.
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