US January ISM services 52.8 vs 54.3 expected
Prior was 54.1Employment 52.3 vs 51.3 priorNew orders 51.3 vs 54.2 priorPrices paid 60.4 vs 64.4 priorBusiness activity 54.5 vs 58.2 priorSupplier deliveries 53.0 vs 52.5 priorInventories 47.5 vs 49.4 priorBacklog of orders 44.8 vs 44.3 priorNew export orders 52.0 vs 50.1 priorImports 49.8 vs 50.7 priorInventory sentiment 53.5 vs 53.4 priorThis isn't the post-election boom I was promised but the report highlights poor weather and tariff worries. The US dollar is lower on the report and Treasury yields are at the lows of the day with 10s now down 10 bps to 4.41%.Comments in the report:“Expecting considerable new projects to move to execution by second quarter in the energy market within the U.S.” [Construction]“Business conditions seem to be stable for us at this time.” [Educational Services]“Seeing letters announcing higher pricing from suppliers for 2025. Relying more on analytics to find the lowest impact on cost while keeping the quality high.” [Health Care & Social Assistance]“The paper market is starting to tighten up on the groundwood grades. All the North American mills are pushing dates into late February. It’s not causing any shortages yet, but it’s the first time in over a year that dates are moving out.” [Information]“Some apprehension exists with stakeholders and suppliers with government changes and potential tariff burdens.” [Management of Companies & Support Services]“The threat of tariffs is causing prices to rise. The threat of unstable international markets is resulting in shortages for various materials.” [Professional, Scientific & Technical Services]“Concern going forward is the cost of materials and project work, if any tariffs go into effect.” [Real Estate, Rental & Leasing]“Holiday sales not as robust as hoped for. Will need to adjust future planning.” [Retail Trade]“The employment market is softening as we are seeing less natural turn and getting more and better-qualified applicants. Also, requests for our services have continued to increase.” [Transportation & Warehousing]“Business is picking up but still slower than expected for January. We have had a lot of warehouse closures due to weather.” [Wholesale Trade] This article was written by Adam Button at www.forexlive.com.
- Prior was 54.1
- Employment 52.3 vs 51.3 prior
- New orders 51.3 vs 54.2 prior
- Prices paid 60.4 vs 64.4 prior
- Business activity 54.5 vs 58.2 prior
- Supplier deliveries 53.0 vs 52.5 prior
- Inventories 47.5 vs 49.4 prior
- Backlog of orders 44.8 vs 44.3 prior
- New export orders 52.0 vs 50.1 prior
- Imports 49.8 vs 50.7 prior
- Inventory sentiment 53.5 vs 53.4 prior
This isn't the post-election boom I was promised but the report highlights poor weather and tariff worries. The US dollar is lower on the report and Treasury yields are at the lows of the day with 10s now down 10 bps to 4.41%.
Comments in the report:
- “Expecting considerable new projects to move to execution by second quarter in the energy market within the U.S.” [Construction]
- “Business conditions seem to be stable for us at this time.” [Educational Services]
- “Seeing letters announcing higher pricing from suppliers for 2025. Relying more on analytics to find the lowest impact on cost while keeping the quality high.” [Health Care & Social Assistance]
- “The paper market is starting to tighten up on the groundwood grades. All the North American mills are pushing dates into late February. It’s not causing any shortages yet, but it’s the first time in over a year that dates are moving out.” [Information]
- “Some apprehension exists with stakeholders and suppliers with government changes and potential tariff burdens.” [Management of Companies & Support Services]
- “The threat of tariffs is causing prices to rise. The threat of unstable international markets is resulting in shortages for various materials.” [Professional, Scientific & Technical Services]
- “Concern going forward is the cost of materials and project work, if any tariffs go into effect.” [Real Estate, Rental & Leasing]
- “Holiday sales not as robust as hoped for. Will need to adjust future planning.” [Retail Trade]
- “The employment market is softening as we are seeing less natural turn and getting more and better-qualified applicants. Also, requests for our services have continued to increase.” [Transportation & Warehousing]
- “Business is picking up but still slower than expected for January. We have had a lot of warehouse closures due to weather.” [Wholesale Trade]
