There’s no spinning it; the latest industrial data coming out in the US and abroad is weak. It coincides with our macro theme of growth slowing and ISM, durable goods and corporate earnings data backs it up. We’ve seen companies like FedEx (FDX) and Caterpillar (CAT) become cautious about 2013 earnings guidance and revenue growth across large US companies continues to slow.
Looking at the charts below, you can see that the ISM Manufacturing Orders Index has been below 50 for the past three months and is on the decline. And the latest durable goods number was abysmal. Throw in the slowdown that’s been occurring for months now in China and it paints a grim tale. If you wanted proof we’re still in a recession, you certainly have it now.
