- US jobless claims decline much more than expected as the hurricanes’ effect fades
- US Philadelphia PMI beats forecast and suggests higher manufacturing ISM
- EURUSD tries to recover following hawkish FED
The data-wise is rather benign today when it comes to the US economy, however we got two better than expected readings. First and foremost, US jobless claims unexpectedly declined last week by 23k to 259k while the consensus pointed to 302k as the adverse effect related to the hurricane Harvey continued to fade away. However there is guesswork that volatility in that reading may continue for several weeks as the same pattern took place in 2012 when the storm Sandy struck the Northeast.
Philadelphia FED comes higher than expected in September suggesting a sturdier print of manufacturing ISM. Source: Macrobond, XTB Research
The second release came from Philadelphia when the regional PMI index easily beat the forecast put at 17.1 and came in at 23.8. The rosier data related to the industry sector could be especially welcomed at the time when the US is affected by disastrous weather conditions. That said, higher regional PMI could bode well for the whole economy in terms of manufacturing ISM this month.
The EURUSD is marching higher when Wall Street is set to open soon. Source: xStation5
A technical view suggests that the EURUSD could go a bit higher towards 1.1985 where a more important resistance zone is placed. That level could constitute a test for bears if they are able to keep on the yesterday’s move.