This afternoon’s publication of the Philly Fed Manufacturing Index cast doubt on speculations for positive growth in the second quarter across the manufacturing and industrial sectors of the American economy. The reading’s significant contraction underlined the growing weakness in the nation’s manufacturing sector, first outlined by the Empire State index published yesterday.
With global manufacturing in such sharp decline, many analysts are beginning to consider the possibility of significantly reduced growth outlooks in several leading industrial nations. Forecasts for today’s numbers were for a mildly bullish reading of 7.1. The negative 7.7 reading published recently has helped drive many more investors into risk flight mode, which in turn is driving the safe-haven USD and CHF ever higher.
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Greg Holden is the Chief Market Analyst at ForexYard. Greg uses his detailed knowledge of fundamental and technical analysis to provide some of the leading market forecasts in the forex world today. A guest lecturer at forex symposiums and Chief Editor of ForexYard's analysis center, Greg brings highly detailed and easy-to-use market analyses to his clientele. He has been published on ForexYard's Trading Blog and affiliate websites. Greg holds degrees in Political Science and Economics from Missouri State University, as well as a Masters degree in Middle Eastern History.
