US ISM Manufacturing and Services Data and ADP Employment Figures to Influence Fed Rate Decision

Summary

U.S. ISM surveys on manufacturing and services activity, plus the latest ADP private payrolls, will be watched closely for confirmation that the Federal Reserve could cut interest rates at its next meeting.MSN

Impact Analysis

So, they’re basically setting the stage for a potential rate cut by the Fed in December, hinging on the latest ISM and ADP data. The labor market’s been showing mixed signals—ADP data recently indicated a weekly loss of 11,250 jobs, but there was a rebound in October with 42,000 jobs added, surpassing expectations.Sina Finance+ 2 The ISM services PMI also exceeded expectations, suggesting some resilience in the economy.Trading Economics However, the market’s skeptical about a rate cut due to strong economic data pushing Treasury yields higher.Investinglive The Fed’s decision will likely depend on whether the upcoming data confirms a weakening labor market or persistent inflation pressures. If the data leans towards weakness, expect a rate cut, which could boost equities but pressure the dollar and yields. Watch for any surprises in the data that could shift market sentiment quickly.