US ISM October manufacturing PMI 46.5 vs 47.6 expected

• Prices paid 54.8 vs 48.5 expected (48.3 prior) — highest since May
• Employment 44.4 vs 43.9 prior
• New orders 47.1 vs 46.1 prior
• Production 46.2 vs 49.8 prior
• Supplier deliveries 52.0 vs 52.2 prior
• Inventories 42.6 vs 43.9 prior
• Backlog of orders 42.3 vs 44.1 prior
• New export orders 45.5 vs 45.3 prior
• Imports 48.3 vs 48.3 prior

This is a miss and that’s dovish but the jump in prices could also get the Fed’s attention, though it’s an odd one give the fall in fuel prices. The prices paid number is the highest since May but it comes after the lowest number of the year.

Overall, it’s a tough stretch for manufacturing right now and there is no reason to see a quick turn.

This article was written by Adam Button at www.forexlive.com.