Yesterday was a discouraging day for the US dollar, as it weakened slightly in the afternoon. The ISM manufacturing Purchasing Managers’ Index (PMI) fell to three-month lows, highlighting slow growth in the sector. Personal spending fell against the previous month, with personal income remaining static, which could mean the US are holding off spending in anticipation of an interest rate hike.
Today is sparse in terms of key economic data from the US, with factory orders the only key release of the day. This is expected to show a big increase on the previous negative figure. For now, the spotlight still shines on the US Federal Reserve and investor sentiment surrounding the possibility of an interest rate hike.