December 04, 2024 at 03:00PM
Prior was 56.0 (was best since Sept 2023)
Employment 51.5 vs 53.0 prior
New orders 53.7 vs 57.4 prior
Prices paid 58.2 vs 58.1 prior
Supplier deliveries 49.5 vs 56.4 prior
Inventories 45.9 vs 57.2 prior
Backlog of orders 47.1 vs 47.7 prior
New export orders 49.6 vs 51.7 prior
Imports 53.8 vs 50.2 prior
Inventory sentiment 54.6 vs 53.0 prior
Comments in the report
“Federal Reserve interest rate cuts have not had the desired effect
on mortgage rates yet. With election results mostly determined,
expansion of residential construction is anticipated, but the unknown
effect of tariffs clouds the future.” [Construction]
“All operations are normal at the moment. Nothing local or national
that is having any major effect on our operations.” [Educational
Services]
“Higher level of activity is driving the need for additional resources.” [Finance & Insurance]
“We have concern after the presidential election that tariffs will
affect prices for electronics and components in 2025.” [Information]
“Domestic lead times still seem very long. We are having to go to
China for many electrical equipment requirements. Even after tariffs,
the price is half, and so are the lead times.” [Management of Companies
& Support Services]
“Election results and the potential tariff changes would impact
inventory and lead to higher prices in the hospital supply chain. What
we saw during COVID-19 with startup U.S. production is a warning sign
again.” [Professional, Scientific & Technical Services]
“Construction materials are shorted or hard to get due to increased
construction projects in the area and (in the) U.S. Sometimes projects
are delayed due to this.” [Public Administration]
“We finished a solid quarter and are planning on a similar holiday
period. Not breaking any records, but positive.” [Retail Trade]
“Still waiting to see how presidential cabinet picks shake out, if
they are confirmed and how they will affect our operations going
forward. Holding capital projects now until the cabinet is complete and
we know how federal funds will be dispersed going forward.”
[Transportation & Warehousing]
“Even though we are reducing our spending and our employment levels,
we have a positive outlook for 2025 performance with expected
reinvestment of funds.” [Utilities]
This is a cool report and should bump up Fed cut odds while weighing on the US dollar. Current Fed cut odds are up to 75% from 70%. They’ll swing further on the Beige Book at 2 pm ET
This article was written by Adam Button at www.forexlive.com.
