The NMI® registered 59.1 percent, which is 0.5 percentage point higher than the May reading of 58.6 percent. This represents continued growth in the non-manufacturing sector at a slightly faster rate. The Non-Manufacturing Business Activity Index increased to 63.9 percent, 2.6 percentage points higher than the May reading of 61.3 percent, reflecting growth for the 107th consecutive month, at a faster rate in June. The New Orders Index registered 63.2 percent, 2.7 percentage points higher than the reading of 60.5 percent in May.
Federal Reserve policymakers supported further increases in interest rates as the pace of U.S. economic growth continued "above trend," but concerns grew over the impact of trade tensions on business sentiment, according to the minutes of the Fed's June meeting. "Participants generally expected that further gradual increases in the target range for the federal funds rate would be consistent with solid expansion of economic activity, strong labor market conditions, and inflation near the Committee’s symmetric 2 percent objective over the medium term," the Fed said in the minutes.
There will be no major data releases from Australia tomorrow. In the US session NFP figures will be released. Analysts anticipate increase by 195,000 in number of employed, while unemployment rate should remain unchanged at 5.8%.
Figures to watch:
Non-Farm Employment Change/Unemployment Rate (Friday 13:30)
