"He Didn't Build It" -- Boy, That's For Sure -- The August ISM Numbers

From Bloomberg, the committee's official statement, released September 4, 2012:

The PMI registered 49.6 percent, a decrease of 0.2 percentage point from July’s reading of 49.8 percent, indicating contraction in the manufacturing sector for the third consecutive month.

This is also the lowest reading for the PMI since July 2009.

The New Orders Index registered 47.1 percent, a decrease of 0.9 percentage point from July, indicating contraction in new orders for the third consecutive month.

The Production Index registered 47.2 percent, a decrease of 4.1 percentage points and indicating contraction in production for the first time since May 2009.

The Employment Index remained in growth territory at 51.6 percent, but registered its lowest reading since November 2009 when the Employment Index registered 51 percent.

The Prices Index increased 14.5 percentage points from its July reading to 54 percent. Comments from the panel generally reflect a slowdown in orders and demand, with continuing concern over the uncertain state of global economies.” 

Wow, that's an understatement.

Lowest readings since July, 2009.

It's been too long since the last recession to call the coming recession a double dip recession. This next recession will get a new moniker. 

I did not watch CNBC this morning when this came out; I can only imagine the spin. This is really quite incredible.

Lowest readings since July, 2009.

**************************

Construction numbers

And then this headline from Bloomberg: Construction spending in US unexpectedly dropped in July.

Brings new meaning to "he didn't build it."

************************** 

US Slips in Competitiveness Ranking

CNBC, September 5, 2012:

The United States has slipped further down a global ranking of the world's most competitive economies, ....

The world's largest economy, which was placed 5th last year, fell two positions to the 7th spot --marking its fourth year of decline.

A lack of macroeconomics activity, the business community's continued mistrust of the government and concerns over its fiscal health ...

**************************

************************** 

FedEx cuts estimates for June - August quarter

************************** 

Record 46 million Americans on food stamps

**************************