Thursday, January 05, 2012

US ISM Non-Manufacturing - Slightly lower print punctuates dowswing from the Open

Risk off day as problems with European banking sector hit the market. US market had already digested some good ADP numbers and slightly better weekly jobless numbers. Stock indices sold off as the New York cash equity opened and this ISM release was slighted for half an hour later. This slightly lower deviation caused a little extra selling pressure to pierce some lows and basically punctuate the low before reversing. It was not a big enough deviation to cause much of a move.
The Ivey PMI figures for Canada were released at the same time.

Here the figures:

US ISM Non-Manufacturing Index
Estimates: Median 53.0 Average 53.1 Range 52.0 to 55.0 (52.5-53.5 most)
Actual: 52.6 Prior: 52.0 No Revisions

CAD Ivey PMI
Estimates: Median 58.0 Average 58.4 Range 56.0 to 61.0
Actual: 63.5 Prior: 59.9 No Revisions

First chart is the 1 minute chart of the EMini S&P 500 Futures Contract. The 3pm GMT (10am EST) release brought a slightly lower low which then brought about a reversal higher:

Next the 30 second chart of the USDJPY, which had rallied since the good nearly +150k deviation on the 13:15 GMT (8:15 EST) release of US ADP, it did sell off a bit on the news:

Finally the 30 second chart of the CADJPY is interesting as the strong Canadian Ivey PMI data did not move the pair up initially as it is so highly correlated to the Stock Indices and the risk appetite/aversion dynamic in the market:

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