US S&P Global Manufacturing PMI drops to 49.4 in October, Services PMI improves to 50.8

• US S&P Global Composite PMI held steady at 50.7 in November’s flash estimate.
• US Dollar Index stays in negative territory at around 103.50.

The economic activity in the US private sector continued to expand at a modest pace in early November, with S&P Global Composite PMI holding steady at 50.7.

The Manufacturing PMI fell into the contraction territory by edging lower to 49.4 from 50.0 in the same period, while the Services PMI improved modestly to 50.8 from 50.6.

Commenting on the survey’s findings, “the US private sector remained in expansionary territory in November, as firms signalled another marginal rise in business activity,” noted Siân Jones, Principal Economist at S&P Global Market Intelligence. “Moreover, demand conditions – largely driven by the service sector – improved as new orders returned to growth for the first time in four months.”

Market reaction

The US Dollar Index showed no immediate reaction to these data and was last trading modestly lower on the day at around 103.50.