Highlights
Yesterday, S&P Global reported China’s PMI rose to 51.5 in November, the highest since June as new export orders rose for the first time in four months. The market expected China’s PMI to be only 50.5. This is one the strongest one-month PMI gain ever for any country! China's November factory production expanded at the fastest pace in five months in November. New orders, including those from abroad, led to a solid rise in production, pushing manufacturers' optimism to an eight-month high.
However, India’s manufacturing activity slowed in November, with the PMI dropping to a 11-month low of 56.5, down from 57.5 in October. None-the-less, a PMI of 56.5 is not a bad number at all. Most countries would kill to have such a strong PMI.
U.S. November manufacturing PMI was 49.7, much better than the expected 48.8 and October’s manufacturing PMI of 48.8. This good economic news reduces the probability of the Fed quickly reducing interest rates.
After the close yesterday, the USDA reported the U.S. October crush: