Manufacturing, services PMI slump to multi-year lows in June

[UpInArms]

Source: Marketwatch

The numbers: IHS Markit said its flash manufacturing purchasing managers index in June dropped to 50.1 from 50.5 in May, the worst reading since Sept. 2009.

Meanwhile the flash services purchasing managers index in June fell to 50.7 from 50.9, the worst reading since March 2016.

Any reading above 50 indicates improving conditions. The flash estimate is typically based on approximately 85%–90% of total PMI survey responses each month.

What happened: Private sector output growth has lost momentum in each month since February, IHS Markit said. Production volumes barely rose, and respondents noted “greater risk aversion.”

Read more: https://www.marketwatch.com/story/manufacturing-services-pmi-slump-to-multi-year-lows-in-june-2019-06-21?mod=mw_latestnews

[ProudMNDemocrat]

1. So much for Manufacturing making a comeback.....

I wonder what the forecast for June Jobs report is going to look like. Any number in the 5 digits will indicate a recession is coming as more people retire and leave the Job Force., or those who stopped looking for jobs.

[SWBTATTReg]

2. So, Manufacturing and svcs PMI slumps, new hires slumps to new low (75k), Yield curve inverts...

(long term rates vs. short term rates), a usual indicator of a possible slump in economic activity, benefits/impact of the 2017 tax cut and jobs bill is virtually zero, tariffs and the like pretty well gutted any tax payer benefits of a small increase in net pay (pretty well gutted it and if anything, pushed net income for consumers to a minus figure), inflation will start creeping up (there are already numerous signs of increasing prices on just about everything), and Congress (Senate) / the WH can't seemingly function what-so-ever.

Overseas relations with just about every ally is in the dumps, with more and more of them refusing to believe any of the excuses that the rump administration comes up with on just about everything (look at the doubts cast towards the Iran attacks). The Fed. froze interest rates (were rising), since the economy weakened and further increases to the interest rate (was rising) would have possibly destabilized the economy somewhat.

Man, we are winning!