“The economic growth remains heavily reliant on the services sector.”, — write: www.fxempire.com
Composite PMI increased from 54.1 to 55.3, while analysts expected that it would grow to 54.3. The strong performance of the services sector boosted the Composite PMI .
S&P Global commented: “The prospect of lower interest rates and a more pro-business approach from the incoming administration has fueled greater optimism, in turn helping drive output and order book inflows higher in November.”
U.S. Dollar Index moved above the 107.60 level as traders reacted to the better-than-expected Composite PMI report. The U.S. economy stays strong, which is bullish for the American currency.
Gold continued its attempts to settle above the $2700 level. Demand for gold is driven by rising geopolitical tensions, and it remains to be seen whether PMI reports will have a material impact on gold market dynamics.
SP500 moved above the 5970 level as traders focused on strong PMI reports. From a big picture point of view, stock traders stay bullish.