The ISM services index is also down 5 points more than expected, falling from 44.4 in October to 37.3 in November. This is an awful number, indicating a sharper service sector contraction than expected. Stocks, however, are moving modestly higher following the report. We are seeing the financial markets ignore bad news. This is typically a bullish indicator when traders are expecting such bad news that even disappointing news is discounted. Wednesday, December 3, 2008
ISM Services Falls to All-Time Record Low
The ISM services index is also down 5 points more than expected, falling from 44.4 in October to 37.3 in November. This is an awful number, indicating a sharper service sector contraction than expected. Stocks, however, are moving modestly higher following the report. We are seeing the financial markets ignore bad news. This is typically a bullish indicator when traders are expecting such bad news that even disappointing news is discounted. 
