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Here comes ISM manufacturing ...

Akin Oyedele   

Here comes ISM manufacturing ...
Stock Market1 min read

The Institute of Supply Management and Markit Economics are set to release their reports on how the US manufacturing sector fared in September.

Markit's purchasing manager's index is up first, at 9:45 a.m. ET. The firm's preliminary 'flash' PMI released last month was 51.4, holding above the threshold of 50 that separates expansion from contraction.

ISM's index, due at 10 a.m., is forecast at 50.4, which would be a rebound from a contractionary reading of 49.4 in August, the first slip since February.

The report showed that a plunge in new orders led declines among all the measures that constitute the index. Production, order backlogs, and employment also shrank.

Unlike decades ago, manufacturing makes a smaller contribution to the US economy compared to the services sector. During 2015, it entered a steep downturn as the rising dollar made it more expensive for foreign buyers to purchase US exports.

The sector's recovery has been slow and uneven.

More to come ...

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