Relevant and even prescient commentary on news, politics and the economy.

A Fed nightmare? Housing permits and starts confirm improvement from bottom, multi-unit construction sets new record high

A Fed nightmare? Housing permits and starts confirm improvement from bottom, multi-unit construction sets new record high  – by New Deal democrat Housing construction is perhaps the single most important method by which the Fed seeks to translate its interest rate policy into effects on the economy.  To be blunt, the Fed’s sledgehammer attempt via […]

Trump, the road to serfdom, and the debt ceiling

During last night’s CNN “town hall” fiasco Trump had this to say about the debt ceiling: Former President Donald Trump on Wednesday urged Republican lawmakers to let the United States default on its debt if Democrats don’t agree to spending cuts. “I say to the Republicans out there — congressmen, senators — if they don’t […]

Manufacturing and construction start out the month’s data to the negative side

Manufacturing and construction start out the month’s data to the negative side  – by New Deal democrat As usual, we start the month with reports on last month’s manufacturing, and construction from two months ago. The ISM manufacturing index has a 75 year record of being a very reliable leading indicator. According to the ISM, […]

Positive revisions make for a good March industrial production report

Positive revisions make for a good March industrial production report  – by New Deal democrat If retail sales for March were bad, industrial production (blue in the graph below) was at very least mixed to the upside. Total production increased +0.4%, and on top of that February was revised higher by +0.2%, and January was […]