Fiper | ISM Manufacturing PMI

The ISM Manufacturing Index determines the level of activity of purchasing managers in the manufacturing sector, and a reading above 50 indicates expansion. To get a reading of this indicator, purchasing managers determine the level of certain elements in the sector, including employment, production, new orders, resource allocation, and inventories.
The ISM manufacturing PMI fell to 50.2 in October of 2022 from 50.9 in September, indicating the slowest growth in factory activity since the contraction in mid-2020. However, the numbers came in slightly above market expectations of 50. New orders contracted ( 49.2 vs. 47.1), employment changed slightly (50 vs. 48.7), while the backlog of applications decreased (45.3 vs. 50.9). Companies continue to manage employee numbers through hiring freezes and attrition to lower levels, with medium and long term demand remaining uncertain. Meanwhile, price pressures continued to ease for the seventh consecutive month and fell into contraction territory (46.6 vs. 51.7), which should encourage buyers. Production also rose faster (52.3 vs. 50.6). “With panelists reporting declining new order rates over the past five months, the October index reading reflects companies' readiness for potentially lower demand ahead,” said Timothy Fury, President, ISM.

The timing of the statement

Expectations for today's statement indicate the level of 49.7
In the event that the statement was issued and recorded a lower level than expectations, this negatively affects the currency
In the event that the statement was issued and recorded a level higher than expectations, this will positively affect the currency