Dallas Fed Manufacturing Index Improves To -9.7, Beating Analyst Estimates

On August 26, 2024, the Federal Reserve Bank of Dallas released Dallas Fed Manufacturing Index report for August.

The report indicated that Dallas Fed Manufacturing Index improved from -17.5 in July to -9.7 in August, compared to analyst consensus of -14. The Federal Reserve Bank of Dallas noted that “perceptions of broader business conditions remained negative but were less pessimistic in August.”

Production Index increased from -1.3 in July to +1.6 in August, while New Orders Index grew from -12.8 to -4.2. According to the report, upward pressure on prices and wages continued in August. The Wages and Benefits Index increased from 21.2 in July  to 22.0 in August, while Prices Paid for Raw Materials Index grew from 23.1 to 28.2.

U.S. Dollar Index pulled back towards the 100.70 level as traders reacted to the report. Treasury yields are moving lower, which is bearish for the American currency.

Gold settled near $2515 after an unsuccessful attempt to climb above the nearest resistance level at $2520 – $2530. Traders continue to take profits off the table near historic highs.

SP500 made an attempt to settle below the 5615 level after the release of Dallas Fed Manufacturing Index report. The index needs significant positive catalysts to test new highs.

For a look at all of today’s economic events, check out our economic calendar.