Markets are rallying on bad data. Where have we seen this before? Ah, August 2010 QE2 announcement, now I remember.
European PMIs were mixed, manufacturing sucked (with EZ below 50), services were respectable. Europe is not a service-based economy, so manufacturing is the key there.
Investor and consumer sentiment/confidence were awful.
China PMI printed below 50 for the second time in a row. I am not surprised, neither is the market. China is not immune.
Canada's retail sales were negative. Our neighbors north of the border are feeling our pain now. We will go down together...
US new home sales below 300K. We do not need more homes, please. Richmond Fed cratered (just like Philly). This is going to negatively affect ISM for sure.
So we are now celebrating a death of the growth with a rally :)
No comments:
Post a Comment