Today, traders also had the chance to view the ISM Services PMI report for December. The report showed that ISM Services PMI rose to 54.1 in December from 52.1 in November, compared to the analyst consensus of 53.3. Numbers above 50 show expansion.
The New Orders index rose from 53.7 in November to 54.2 in December, while the Business Activity index improved from 53.7 to 58.2.
The Institute for Supply Management noted, “Many industries noted that year-end and seasonal factors helped drive business activity or affected inventory management.”
The US Dollar Index gained ground as traders reacted to better-than-expected reports. Currently, the US Dollar Index is trying to settle above the 108.50 level.
Gold retreated from session highs as traders focused on the recovery of the US dollar. Yields on government bonds rose, further increasing pressure on the gold markets.
SP500 came under pressure following the release of the reports as traders bet on the hawkish Fed. Currently, SP500 is trying to settle below the 5960 level.