November 5, 2024
'Worst Since COVID Lockdowns' - Regional Fed Surveys Plunged In July

It was ugly in macro-land today with existing home sales crashing (as home prices hit record highs). But a couple of Regional Fed surveys really laid an egg...

First out of the gate was the Philly Fed Services Activity Survey, which puked in July from two-year highs to near four-year lows...

Source: Bloomberg

The indexes for general activity at the firm level, new orders, and sales/revenues turned negative. The full-time employment index suggested a decline in employment, and prices are rising once again...

  • New orders fell to -7.1 vs 6.7

  • Sales fell to -3.5 vs 14.3

  • Prices paid rose to 30.2 vs 24.4

  • Full-time employment fell to -4.9 vs 14.6

  • Part-time employment fell to 4.0 vs 13.1

Of particular note was that the capital expenditures-equipment fell to 10.8 vs 24.5... not a great sign for the future of AI investment that is still supporting stocks.

And it's not just Services, The Richmond Fed Manufacturing Survey crashed to -17 (the worst since the peak of the COVID lockdowns)...

Source: Bloomberg

And under the hood, it was even more of a shitshow...

  • Shipments fell to -21

  • New order volume slowed to -23

  • Order backlogs rose to -20

  • Capacity utilization slowed to -13

  • Inventory levels of finished goods increased to 20

Overall, it's bad news as Bidenomics shits the bed...

Source: Bloomberg

We just cannot wait to hear what Harris has up her sleeve to 'fix' this...

Tyler Durden Tue, 07/23/2024 - 14:45

It was ugly in macro-land today with existing home sales crashing (as home prices hit record highs). But a couple of Regional Fed surveys really laid an egg…

First out of the gate was the Philly Fed Services Activity Survey, which puked in July from two-year highs to near four-year lows…

Source: Bloomberg

The indexes for general activity at the firm level, new orders, and sales/revenues turned negative. The full-time employment index suggested a decline in employment, and prices are rising once again…

  • New orders fell to -7.1 vs 6.7

  • Sales fell to -3.5 vs 14.3

  • Prices paid rose to 30.2 vs 24.4

  • Full-time employment fell to -4.9 vs 14.6

  • Part-time employment fell to 4.0 vs 13.1

Of particular note was that the capital expenditures-equipment fell to 10.8 vs 24.5… not a great sign for the future of AI investment that is still supporting stocks.

And it’s not just Services, The Richmond Fed Manufacturing Survey crashed to -17 (the worst since the peak of the COVID lockdowns)

Source: Bloomberg

And under the hood, it was even more of a shitshow…

  • Shipments fell to -21

  • New order volume slowed to -23

  • Order backlogs rose to -20

  • Capacity utilization slowed to -13

  • Inventory levels of finished goods increased to 20

Overall, it’s bad news as Bidenomics shits the bed…

Source: Bloomberg

We just cannot wait to hear what Harris has up her sleeve to ‘fix’ this…

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