The Week Ahead...

A dead even 50.0 reading is expected for Monday's ISM index which, unlike actual government data on the factory sector, has so far been holding above contraction. A sub-50 reading for the ISM could open the week on a rough note. The housing outlook has been upended following the latest new home sales and pending home sales reports which puts added focus on construction spending, also released on Monday. Motor vehicle sales will offer the first definitive data on consumer activity in October and expectations, at least compared to September, are negative. The week will then move toward Friday's employment where, unlike expectations for other data, solid growth is expected, at 190,000 for nonfarm payrolls.