Big Miss in ISM Non-Manufacturing at 52.8

Wow, quite a doozy this morning from the ISM Non-Manufacturing figure – 52.8. This is a huge drop from 57.3 in March, and way below expectations of 57.8. While Monday’s ISM Manufacturing gets all the press, that is only 11% of the economy, whereas the service sector dominates. We will have to see in 30 days if this was an anomaly of some sort. New orders were obliterated. Prices paid dropped from 72.1 to 70.1 – interesting how this report is the polar opposite of manufacturing.

(for those new to these reports, above 50 = expansion, below 50 = contraction)

On the plus side… the slowdown in many economic figures the past 8 weeks sets us up well for QE3! Booyah!

Full report here.


About Mark Hanna 543 Articles

Affiliation: Hanna Capital, LLC

Mark Hanna is President and Owner of Hanna Capital, LLC, a registered investment advisory firm. Mark has been a follower of markets since the late 80s, with a focus on individual equities since the mid 90s. He has been a well known commentator in the financial blogosphere for the past 5 years, following a career in corpoporate finance and accounting. Mark attended the University of Michigan where he graduated with a degree in Economics.

As an avid reader, Market Montage is the personal blogging site for Mark to share his views on economics, markets, and the like. Occasional cynicism and wit shall be deployed in his postings.

Follow Mark on Twitter @fundmyfund.

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