U.S. Philadelphia Fed Manufacturing Index Impact on Indian Share Market
The Philadelphia Fed Manufacturing Index measures the changes in business conditions amongst manufacturers. The report is based on data collected from a survey of approx 250 manufacturers in the Philadelphia Federal Reserve district.
A data above zero on the index indicates business conditions are improving. The data below zero tells that the business condition is worsening.
The data is published by the Philadelphia Federal Reserve Bank on the 3rd Thursday of every month at 7:30 pm IST or 10 am EST. Philadelphia Fed manufacturing is one of the good indicators to examine the general business conditions of the USA.
A reading better than forecast should be taken as positive or bullish for the USD. A reading lower than forecast is negative or bearish for the USD.
Indicators That Impact India Stock Market
Impact of U.S. Philadelphia Fed Manufacturing Index on Commodity Market (Gold)
Here data is better than forecast and just after the release of data Gold show a downward movement.
In the above chart, you can clearly see that U.S. Philadelphia Fed Manufacturing data on 19th April 2018 is positive as it is better than forecast.
U.S. Philadelphia Fed Manufacturing Index on 19th April 2018 is 23.2 which is better than forecast (20.8) and previous (22.3). According to data business condition amongst manufacturers is improving and USD takes it as a positive.
As we know that Commodity market (Gold, Silver, etc) react inversely to the USD. So, in the above chart, you can clearly see that just after the data release gold show a downward movement.
Note: The impact of U.S. Philadelphia Fed manufacturing data on Commodity is for a very short period of time. As shown in the above chart.