Moderate Manufacturing

Stocks are down and Bonds are up on the ISM Index reading (a national manufacturing index based on a survey of roughly 300 industrial companies–like many reports, a measure of 50 or higher is considered “positive”), which was reported at 56.6, down from last month’s cheerier 59.0.  For all intents and purposes, this is a technicality which cannot be solely to blame for the DOW being pushed down 115 points as we start off the fourth quarter.

The real culprit is the continuing drama in Europe which should help the dollar gain strength over the Euro in coming months.  AND, the unknown around the Jobs Report which will be released this time tomorrow morning.