The diffusion index for current general activity of the Federal Reserve Bank of Philadelphia's Manufacturing Survey dropped to -13.7 in June from -10.4 in May. This mark was above the market expectation of -14. It was the 10th consecutive negative reading.
According to the report, data “suggest continued overall declines in the region’s manufacturing sector this month. The indicators for current activity and new orders remained negative, while the index for shipments turned positive”. Regarding the survey’s future indexes, the data shows an improvement “but continued to suggest subdued expectations for growth over the next six months.”
Key takeaways from the report:
“The index for new orders declined 2 points to -11.0, the index’s 13th consecutive negative reading. The current shipments index rose 15 points to 9.9, its highest reading since January.”
“On balance, the firms reported mostly steady levels of employment. The employment index rose 8 points to a near-zero reading.”
“The prices paid diffusion index was little changed at 10.5.”
“The current prices received index rose 7 points from a three-year low in May to 0.1 in June, marking the index’s first increase since January.”
Market reaction:
The US Dollar pulled back after the release of US economic reports that also included Retail Sales and Jobless Claims. The DXY dropped to fresh daily lows below 102.90 and US Treasury yields fell further.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
AUD/USD stands tall above 0.6700 after Australian trade data
AUD/USD holds higher ground above 0.6700 in the Asian session on Thursday. The Aussie pair shrugs off mixed Australian trade data, as sustained US Dollar weakness continues to undermine amid light trading. The focus shifts to Friday's US Nonfarm Payrolls data.
USD/JPY keeps losses near 161.50 amid thin trading
USD/JPY is off the lows, still offered near 161.50 in Asian trading on Thursday. A broad US Dollar weakness alongside the US Treasury bond yields, softer risk tone and a US holiday-thinned trading contribute to the pair's downside.
Gold price remains supported by rising September Fed rate cut bets
Gold price oscillates in a narrow band during the Asian session on Thursday. The softer US economic data released on Wednesday pointed to a slowing labor market and economic momentum, which lifted bets for an interest rate cut by the Federal Reserve in September.
Here are the best and worst-performing cryptocurrencies in H1 2024
A recent report by Crypto Koryo on Wednesday revealed meme coins as the top performers among cryptocurrencies so far in 2024, with several altcoins coming in behind. The worst-performing tokens are DeFi and governance tokens.
Could the post-UK elections market moves resemble 1997 and 2010?
Thursday's UK elections expected to bring political change. Similar developments in both 1997 and 2010 weighed on the Pound. History points to a significant easing in Pound volatility across the board. Recent FTSE 100 performance matches the 2015 pre-election moves.