U.S. non-manufacturing sector picks up pace in October

In the United States, the Institute of Supply Management (ISM) non-manufacturing index increased by 2.2 points to 59.1 in October, recorded the first monthly increase since July. The index posted positive figure after two consecutive monthly declines. The figure beat the consensus expectation, as it was expected to reach 56.5 from 56.9 posted in September. 

Both the new orders and business activity subcomponents cameback strongly in October. The new orders incerased by 5.3 points and stood at 62.0 whereas, business activity at disaggregate level inched up by 2.8 points to 63.0.

"The ISM figure highlights the ongoing divergence between the externally-exposed manufacturing sector and the relatively insulated services sector, with the difference between the two widening to 9.0 points in October - the largest gap since December 2000. It is believed that the non-manufacturing sector is not entirely immune to global headwinds with the slowdown in the mining industry being a case in point", states TD Economics in a research note.