US DATA
- The ISM manufacturing index increased by a little less than expected to 47.2 (cons 47.5) in August after 46.8 in July.
- Two closely watched series increased on the month, prices paid and employment, but the latter was after a particularly sharp decline whilst new orders fell further into recessionary territory.
- Prices paid 54.0 (cons 52.0, note the survey of 5 responses vs 59 for the main index) after 52.9. It sees two relatively steady increases of circa 1pt after large swings earlier in the year, leaving it at its highest since May.
- Employment increased 2.6pts to 46.0 after 43.4. The latter is only a partial reversal after a heavy 5.9pt slide to what was the lowest since the depths of the pandemic and the weakest since 2009. (As always, remember that manufacturing only accounts for about 10% of payrolls).
- New orders fell 2.8pts to 44.6 after 47.4, its fourth monthly decline in the past five months to leave it at its lowest since May 2023.
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