US ISM Services PMI Misses October Forecasts as USD/JPY Stabilizes

Key Facts

The U.S. ISM Non-Manufacturing PMI for October came in below market expectations. According to Moomoo, the USD/JPY pair stood at 158.52 yen as the dollar traded sideways following the release of the services sector data.

The weaker-than-expected performance in the services sector suggests a potential cooling in the U.S. economy, which typically exerts downward pressure on the dollar and yields. This follows mixed economic signals where factory orders rose by 1.8% on November 3, 2026, beating forecasts, while the ISM Services PMI was recorded at 54.5 on November 4, 2026.

Looking ahead, the market awaits initial jobless claims scheduled for November 5, 2026, followed by the nonfarm payrolls and unemployment rate reports on November 6, 2026, to further gauge the health of the labor market.