Today’s news : “The Institute for Supply Management’s services index rose to 58.9 in November from 57.1 in October. The median forecast of Wall Street economists was for a decline to 56.0. Gauges of employment, prices paid and new orders also rose.”
So, we found out earlier this week that the Manufacturing activity (20% of the economy) is contracting at slightly less than a reading of 50, but for 80% of the economy, the services index is at 58.9.
Seems consistent with the ~2% growth we have seen previously. The brakes have been applied, however, the economy is not yet to the cliffs.
I’m sure there must be some doom and gloom within some components within the index that are down and that the reading was overly optimistic because of some technicalities.
