(MENAFN) While new orders and production tumbled, US factory activity contracted in August for the first time in H1 of 2016.
However, despite of strong dollar and low oil prices, sustained labor market strength could push the Federal Reserve closer to raising interest rates later this year.
Harm Bandholz, chief US economist at UniCredit in New York confirmed that they are currently had no reason to change their Fed call and will continue to anticipate a rate hike at the December meeting.
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