Similarly to the eurozone, PMI releases from the US all came in below expectations. However, in sharp contrast to the eurozone, the readings were still largely positive and showed healthy growth. Composite PMI dropped to 54.4 in November from 54.9 in October and below expectations of 56. It is the weakest reading for two months, but is still firmly above the 50 figure which indicates growth.
Manufacturing PMI came in at 55.4 this month from 55.7 the previous month when it had been expected to hold steady, but new orders did rise the most for six months. Services PMI decreased to 54.4 from 54.8 last month which was lower than the 54.9 analysts had expected, while job creation eased to its weakest pace of growth since June 2017. Still, the dollar managed to make some healthy gains against sterling and the euro to end the week on a high.
This week begins quietly enough for US economic data, but on Wednesday we will see the second estimate of the GDP growth rate for the third quarter of 2018. It is expected to have slid to 3.6% from a whopping 4.2% in the second quarter. We will also see new home sales for October, while on Thursday, the latest Federal Open Market Committee meeting minutes will be released.
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