FXStreet (Mumbai) – The service sector in the US economy expanded at a fastest rate in a decade with a sharp rise in employment, strengthening rate hike bets in the US.
The Institute for Supply Management’s (ISM) non-manufacturing index to 60.3, the best reading since August 2005 and well above the June’s 56.00 reading. All major components of the gauge, including orders and employment ticked higher.
He details of the report reveal the employment gauge jumped to 59.6 from 52.7, the biggest one-month advance since records began in July 1997. The new orders measure rose to 63.8 from 58.3. Both measures were the highest since August 2005.
2-year yield rises again
The two-year yield, which mimics rate hike expectations, has ticked higher by almost three basis points to 0.756%. The yield had dropped into losses earlier today after the ADP report showed the private sector job additions in July slowed down considerably.
(Market News Provided by FXstreet)