Markets are reversing earlier losses after the Trump administration announced they are considering a one-month delay on auto tariffs after meeting with industry leaders. This news is giving some respite to the market, as well as to major auto manufacturers.

Notably, oil prices fell to their lowest level in six months as OPEC+ moves forward with their oil production increase. Crude is threatening to break the lowest end of the price range (mid-$60s) it has sustained for the past two years.

Five out of eleven sectors are higher, with Materials (XLB) leading, while Energy (XLE) is the worst performer.

The US Dollar Index (DXY) continues to decline, falling below its 200 MA.

Economic Data

The S&P Composite PMI was revised up to 51.6 for February from the preliminary reading of 50.4, but below last month’s reading of 52.7.

The ISM Services PMI rose to 53.5 in February from 52.8 in January, and above forecasts of 52.6.

Notable points:

• Employment rose to 53.9 from 52.3
• New orders rose to 52.2 from 51.3
• Prices rose to 62.6 from 60.4

January factory orders rebounded up 1.7%, following two months of consecutive declines and slightly surpassing expectations of 1.6% rise.