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Title: Why The ISM's Plunging Orders Less Inventories Means It's All Downhill From Here
Source:
zero hedge
URL Source: http://www.zerohedge.com/article/wh ... es-means-its-all-downhill-here
Published: Oct 1, 2010
Author: Jim Grant
Post Date: 2010-10-01 22:02:23 by Nebuchadnezzar
Keywords: None
Views: 376
Comments: 9
Why The ISM's Plunging Orders Less Inventories Means It's All Downhill From Here Submitted by Tyler Durden on 10/01/2010 15:22 -0500 Jim Grant Digging beneath the surface of today's ISM report revealed a complete economic disaster: bad components (Inventories and Price) were up, while good ones (Orders and Employment) were down, as we pointed out at our first view of the ISM. What this implies, as John Lohman highlights, is that the "best" indicator - Orders less Inventories, plunged lower. As John explains: "Statistically, orders minus inventories leads ISM composite by 3 months (i.e., the highest correlation is at lag 3). Even when smoothed 3 months (slowing it down), orders minus inventories leads EPS estimates, and below 5 typically means a peak or plateau (and by definition therefore a slowing growth rate) in earnings estimates." We are now well below 5, and looking at historical precedents, the market is now certainly due for a correction, which would definitely occur if the Fed would finally leave the economy alone for at least one second. But no, as Jim Grant earlier stated so eloquently, the Fed is now "lethally" ingrained in all sorts of intervention and manipulation of the US economy, and the only way the two can separate from each other is through the implosion of either, or both. And since the parasitic Fed is far more powerful than even the host country it has invaded for the past 97 years, we have a bad feeling it will be left standing long after America has been brought to ruin. h/t John Lohman
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#1. To: Nebuchadnezzar (#0)
No surprise. With the pending teabagger takeover of congress the public is scared to death to make any new investments or purchases. As predicted.
Never swear "allegiance" to anything other than the 'right to change your mind'!
As predicted. EXCELLENT SPIN!!! Man do you sling the bullshit better than anyone here on LF or LP.
Clinton and Cuomo are the true bandits who lit the fuse to this economic crisis we're now in. All in the name of getting more minorities in houses: http://libertysflame.com/cgi-bin/readart.cgi?ArtNum=12554
Better: Consumer Metrics Index: Consumer Metrics Index Indicates A Slide To Negative GDP Growth In ... Consumer Metrics Index Indicates A Slide To Negative GDP Growth In Q3 And Q4. The Automatic Earth | Sep. 28, 2010, 3:36 PM | 597 | comment 1. A A A ... www.businessinsider.com/consumer-metrics-index-indicates-a-slide-to-negative-gdp-growth-in-q3-and-q4-2010-9 DeGraw @ AmpedStatus.com: # So there we have it. The global Economic Elite have effectively looted and destroyed national economies worldwide, the propaganda system is quickly collapsing, and the masses are beginning to get restless. It’s time to move to the next phase of the attack. Preparations are already underway. We are on the road to World War III. VII: Resource Wars The Road to World War III - The Global Banking Cartel Has One Card Left to PlayAdd to this picture rapidly declining natural resources and an increasingly hostile and polluted environment with extreme weather events frequently pounding the globe. In the past decade the global corporate elite have already engaged in three major resource wars in Iraq, Af-Pak and Northern Africa. With a growing global population and an increasing demand for declining resources, we have already crossed a tipping point and are now in the ecological red.
Your predictions from this summer haven't panned out to well Jim. $30 oil/bbl by December? It's heading the other way.
Clinton and Cuomo are the true bandits who lit the fuse to this economic crisis we're now in. All in the name of getting more minorities in houses: http://libertysflame.com/cgi-bin/readart.cgi?ArtNum=12554
Your predictions from this summer haven't panned out to well Jim. What predictions were those, neb? 8D Tick tock
Your predictions from this summer haven't panned out to well Jim. What predictions were those, neb? 8D waiting. ;}
Okay!
Clinton and Cuomo are the true bandits who lit the fuse to this economic crisis we're now in. All in the name of getting more minorities in houses: http://libertysflame.com/cgi-bin/readart.cgi?ArtNum=12554
Okay! 8D tick tock.
waiting. ;} Okay! 8D tick tock. crickets evlolve. Go into Outer Space. Attack Mars, bitches!!! 8D http://www.nola.com/outdoors/index.ssf/2010/10/measuring_number_of_dead_ducks.html
#2. To: Brian S (#1)
No surprise. With the pending teabagger takeover of congress the public is scared to death to make any new investments or purchases.
#3. To: Nebuchadnezzar (#0)
#4. To: mcgowanjm (#3)
So there we have it. The global Economic Elite have effectively looted and destroyed national economies worldwide, the propaganda system is quickly collapsing, and the masses are beginning to get restless. It’s time to move to the next phase of the attack. Preparations are already underway. We are on the road to World War III. VII: Resource Wars The Road to World War III - The Global Banking Cartel Has One Card Left to PlayAdd to this picture rapidly declining natural resources and an increasingly hostile and polluted environment with extreme weather events frequently pounding the globe. In the past decade the global corporate elite have already engaged in three major resource wars in Iraq, Af-Pak and Northern Africa. With a growing global population and an increasing demand for declining resources, we have already crossed a tipping point and are now in the ecological red.
#5. To: Nebuchadnezzar (#4)
#6. To: All (#5)
Nebuchadnezzar
#7. To: mcgowanjm (#6)
waiting. ;}
#8. To: Nebuchadnezzar (#7)
waiting. ;}
#9. To: Nebuchadnezzar, All (#8)
Nebuchadnezzar
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