The ISM data results are in contrast with the recent weak employment data🤔
Over in treasuries, bond yields were still trying to recover after yesterday’s massive 34bln+ of rate locking activities (from IG corporate issuance), but a very strong ISM Services print pushed 2yr yields above 5% again, with November hiking odds back higher to 45%. The guts of the ISM report stood out in stark contest against the recent weakening in labour data, with the employment sub-component at the strongest levels since Nov 2021, prices paid jumping to 58.9 (from 56.8), and new orders to 57.5 (from 50).
