ECONOMICS

After the shitshow of Soft Survey data on the Manufacturing sector last week, analysts are hoping for some heroics from the Services sector. Amid the collapse in 'hard' data, soft survey data remains the last great hope for saving Bidenomics (with all hopes on a big rebound in ISM from last month's plunge)…

• S&P Global US Services PMI dropped from 55.3 to 55.0 (below 56.0 expectations)

• ISM Services PMI surged back from 48.8 to 51.4 (510.0 exp (more…)

When the US economy crashed in a deflationary vortex during the global financial crisis (and just after the time giant yen carry trade imploded), it seemed to many that another great Depression was assured. However, after a brief period of pain, both the US and the world economy staged a remarkable rebound which, we learned after the fact, was thanks to a unprecedented releveraging undertaken by China, which issued trillions in new debt and used the proceeds to not only build countless ghost (more…)

After this week's 'soft' survey data signaled serious ugliness in the US manufacturing economy…

Source: Bloomberg

…this morning we get 'hard' data confirmation as US Factory Orders plunged 3.3% MoM in June (the biggest MoM drop since COVID lockdowns), dragging orders down 3.6% YoY (also the worst since COVID lockdowns)…

Source: Bloomberg

The final durable goods orders print was worse than the initial – down a shocking 6.7% (more…)