Global Macro Perspectives
Construction spending is a contrast to the ISM Manufacturing. Needless to say that we cannot talk about economic recovery without construction spending. In March, U.S. construction spending rose 0.2% MoM. On a year level we are at -12.3%. Chart 1. U.S. Construction Spending
ISM Manufacturing Index was reported at 60.4 vs. 61 consensus and 59.6. Highest reading since May 2004; seems a tad overdone; there has more prosperous manufacturing periods since then. Chart 1. ISM Manufacturing Index Source: Blytic.com
Personal income rose 0.3% MoM vs. 0.4% consensus and 0% prior reading. On YoY level the personal income is up 3%, but most of the increase comes due the low base effects. Consumer spending rose 0.6% MoM vs. 0.6% consensus and 0.3% prior reading. On YoY level the consumer spending is up 2.9%. The data […]
From the press release. April’s PMI points to a moderate slowdown in the expansion of manufacturing activity. We see this as good news because it means that Beijing’s policy tightening is starting to cool the overheated economy, which will help to contain inflationary risk in the coming quarters. Chart 1. China Federation of Logistics & […]
The total number of drilling rigs operating in North America rose for 1 rig. Number of natural gas drilling rigs rose for 2 rigs; number of crude oil rigs fell for 1 rig. Chart 1. Baker Hughes U.S. Rig Count Change Chart 2. Baker Hughes Weekly U.S. Rig Count Chart 3. Baker Hughes Monthly World […]
Words from the man himself: China’s economy will slow and possibly “crash” within a year as declines in stock and commodity prices signal the nation’s property bubble is set to burst. Bloomberg story: China May ‘Crash’ in Next 9 to 12 Months, Faber Says. Well, like most of his calls, this could also be on […]
Important U.S. earnings this week: Monday: Sysco (SYY), McKesson (MCK), Loews (L), Anadarko Petroleum (APC) Tuesday: Emerson Electric (EMR), Marathon Oil (MRO) Wednesday: Merck & Co. (MRK), Baker Hughes (BHI), Vornado Realty Trust (VNO), Archer Daniels Midland (ADM), Pfizer(PFE), Chesapeake Energy (CHK), Cognizant (CTSH), EOG Resources (EOG), CVS Caremark (CVS), News Corp. (NWSA), Duke Energy […]
Baltic dry index rose 11.3% last week on the back of 21.6% Capesize Index gain. Panamax, Supramax and Handysize Index recorded minor gains. Capsize rate rose 20% in a single day. Two things could have played a role here: securing a contract ahead of Labor day holidays in China and/or limited capesize vessel availability due […]
Baltic Dirty Tanker Index rose 2.1%; Baltic Clean Tanker Index increased 2.5%. The oversupply of shipping capacity is evident (especially in the product segment), despite increased crude oil volume transported. Chart 1. Baltic Tanker Indexes Relative Performance Chart 2. Baltic Tanker Indexes