From the FINANCIAL TIMES:
US manufacturing activity contracted for the first time in three years, further denting confidence in a global economy that is already feeling the effects of the eurozone debt crisis and China’s economic slowdown.
In a shock to economists who were expecting manufacturing growth to slow moderately, the Institute for Supply Management’s survey on the US industrial sector reported a large decline in activity from 53.5 in May to 49.7 in June – its lowest level since the recession ended in mid-2009.
Any reading in the ISM index below 50 indicates a contraction in activity, while above 50 signals an expansion. David Semmens, economist at Standard Chartered described the number as a “really terrible” result…
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EDITOR: The vast majority of economists implored Congress to provide more fiscal stimulus to lift the country out of recession. But This was thwarted. Now, exactly as predicted, we are experiencing a double dip…the same as in 1937 when similar folly took place. Was this stupidity or cleverly calclulated to win the 2012 presidential election?
