US Non-Manufacturing: Slower growth, but growth nonetheless – Wells Fargo

By FXStreet FXStreet (Córdoba) – Data released today of the non-manufacturing index, showed a slower growth, according to analysts from Wells Fargo despite the number, growth remains stronger than what it looks.

Key Quotes:

“The ISM non-manufacturing index came in weaker than expected in January. While the drop indicates a broadening slowdown in the economy, growth remains stronger than readings on industrial activity imply.”

“Annual revisions to the ISM indices show that the divergence between manufacturing and non-manufacturing activity was even wider in the final months of 2015. Although the gap has narrowed, the non-manufacturing index continues to show that growth has not slowed to the extent implied by factory activity.”

“The employment index fell to 52.1 in January and suggests hiring slowed significantly from the blistering pace in December. Along with the drop in the manufacturing hiring component, we have revised down our forecast for January payroll growth to 178,000.”
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Source:: FX Street