Another day, another 'soft' survey shows improvement. Following Dallas Fed's surge yesterday, Chicago PMI printed a dramatically better than expected 66.2 (60.0 exp) – the highest since March 2011.
This print is above the highest estimate (forecast range 58 – 64.7 from 31 economists surveyed) and is a 4 standard deviation beat…
To the highest since March 2011…
Under the hood it was oddly disappointing…
- Prices paid rose at a slower pace, signaling expansion
- New orders rose at a faster pace, signaling expansion – highest since Feb 1974
- Employment fell and the direction reversed, signaling contraction
- Inventories rose at a slower pace, signaling expansion
- Supplier deliveries rose at a slower pace, signaling expansion
- Production rose at a faster pace, signaling expansion
- Order backlogs rose at a faster pace, signaling expansion
- Business activity has been positive for 12 months over the past year.
Oddly, only 3 factors rose in October compared to September (compared to 7 in September)
via http://ift.tt/2A0Lijr Tyler Durden