House of cards. Foundation being taken out. U.S. ISM Services Index Fell to 54.3 Last Month From 59 By Shobhana Chandra http://www.bloomberg.com/apps/news?pid=20601087&sid=a3ol67o3P4eU&refer=home March 5 (Bloomberg) -- Service industries in the U.S. expanded last month at a slower rate than forecast, suggesting the housing slump is filtering through to other parts of the economy. The Institute for Supply Management's index of non- manufacturing businesses including banking, construction and retailing fell to 54.3 in February from 59 in January, the Tempe, Arizona-based group said. Readings above 50 point to growth in services, which make up almost 90 percent of the economy. Stagnant property prices are making it harder for owners to get cash from gains in home equity. The report may cast doubt on Federal Reserve Chairman Ben S. Bernanke's forecast last week that growth is likely to pick up as the year progresses. ``The downtrend in home prices threatens consumer borrowing and consumer spending as a whole,'' Avery Shenfeld, a senior economist at CIBC World Markets Inc. in Toronto, said before the report. ``People recognize now that housing is not yet stabilizing.'' In Europe, services grew at a slower pace in February after a sales-tax increase dented consumer spending in Germany. Royal Bank of Scotland Group Plc's services index fell to 57.5 last month from 57.9 in January. The ISM index was expected to fall to 57.1, the median forecast in a Bloomberg News survey of 68 economists. Estimates ranged from 55 to 59.5. The index has averaged 57.8 since its inception in July 1997.
yep . everything is wonderful ! and the talking heads will say that last week the manufacturing index was up . what are we actually manufacturing ? balloons? just bullshit ! bgp p.s. peter schiff was on c.n.b.c. this morn. really good.
bgp i have been listening to Peter Schiff for quite sometime.... he was on an hour long segment on bloomberg 2 weeks ago, it was a bear vs bull debate on presidents day. Was really really good.
I know I may have been a little early, but even then I believed what Peter Schiff was saying. Registered: Aug 2006 Posts: 2377 08-30-06 08:18 PM This guy in on the money!! Peter Schiff http://news.goldseek.com/EuroCapital/1156523718.php and there talking about a soft landing, ha.
Bylo are they serious.... this is FINALLY MAKING IT TO ARTICLES... this was a given a year ago when housing prices turned south, however if you do look at retail sales they have been healthy alot longer than I would have predicted. I dont see it lasting though, this week we get retail sales, will just have to wait and see where it plays out. I think there will be a huge slowdown in consumer spending as housing prices have dropped, where will consumers borrow???? Remember 2/3 GDP is made up of consumer spending. ``The downtrend in home prices threatens consumer borrowing and consumer spending as a whole,'' Avery Shenfeld, a senior economist at CIBC World Markets Inc. in Toronto, said before the report. ``People recognize now that housing is not yet stabilizing.''
only handful indicators are usefull; even then you can't put too much attentation in them. Just for the record; the government can give out misleading information; it have done it many times before. Anyway; the market is the best indicator over all; if i saw down trend; just go short. oh; don't trust anyone over 30. LOL
Services = 90%? Of course, most of those tend to pay on the lower/minimum side of things too...unless you're a rarity in a management/FT role. Working hard for little pay. Noice.