US: Markit Manufacturing PMI rises to new series high of 63.1 in July vs. 62 expected

• US Markit Manufacturing PMI continues to edge higher in July.
• US Dollar Index stays in the green a little below 93.00.

The IHS Markit’s Manufacturing PMI for the US rose to 63.1 (preliminary) in July from 62.1 in June and notched a new series high. This reading came in better than the market expectation of 62 and showed that the business activity in the manufacturing sector continued to expand at an unprecedented pace.

Additional takeaways

“Production rose at a slightly quicker pace despite further reports of material shortages.”

“Supply chain disruption was reflected once again in efforts to increase purchasing activity and build safety stocks.”

“Stronger demand for inputs globally and a scarcity of materials led to the fastest rise in cost burdens on record.”

“Subsequently, the rate of charge inflation accelerated to a fresh series high.”

Market reaction

The US Dollar Index stays in the positive territory near 92.90 after the data.