US Private Businesses Enjoy October Rebound As PMI Surpasses Expectations: Soft Landing Hopes Get A Boost
Portfolio Pulse from Piero Cingari
US private businesses saw a rebound in October, with the S&P Global PMI surpassing expectations. The Manufacturing PMI rose to 50, while the Services PMI ascended to 50.9. The data indicated a reduction in inflationary pressures, which could impact the Federal Reserve's monetary policy decisions. However, the strength of the US dollar and challenging economic conditions in key export markets pose challenges. Treasury yields rose slightly, the SPDR S&P 500 ETF Trust (NYSE:SPY) rose 0.7%, and the Invesco DB USD Index Bullish Fund ETF (NYSE:UUP) rose 0.5%.
October 24, 2023 | 2:45 pm
News sentiment analysis
Sort by:
Ascending
POSITIVE IMPACT
The SPDR S&P 500 ETF Trust (NYSE:SPY) rose 0.7% following the release of the positive PMI data.
The positive PMI data indicates a rebound in US private businesses, which is likely to boost investor confidence and drive up the price of the SPY ETF in the short term.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 80
POSITIVE IMPACT
The Invesco DB USD Index Bullish Fund ETF (NYSE:UUP) rose 0.5% as traders mull higher-for-longer scenarios on interest rates.
The strength of the US dollar and the potential for higher interest rates are likely to boost the price of the UUP ETF in the short term.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 80