Fed’s ISM for October likely to rise to 51.0%

In the United States, the Empire State Manufacturing Index for November is expected to release today. In the report, Canvasses of local firms surveyed by the Federal Reserve Banks of New York, Philadelphia and Kansas City will eke out early glimpses at manufacturing activity for the month of November. Moreover, this will help on analysing the Institute for Supply Management's (ISM) national report. 

"We expect all headline readings to improve during the reference period, with two out of three reentering positive territory. The net percentage of respondents noting a pickup in business activity in the Empire State Manufacturing Survey is expected to remain below water at -6.5% this month, but much improved from the -13.7% average reading posted over the August-October span", says Societe Generale. 

The downward trend in factory business in the Kansas City district that began in March is expected to change its direction this month.

The corresponding measure in the Philadelphia Business Outlook Survey is likely to inched up from the October reading of -4.5% to a three-month high of 3.0%, and at an aggregate level, the ISM Purchasing Managers' Index is expected to increase by a little less than one percentage point to 51.0% , estimates Societe Generale.