Thursday, January 15, 2009

The Streets of Philladelphia…

The Philly Fed numbers just came out and they aren’t showing inflation, that’s for sure. From Econoday:

The Philly Fed's general business conditions index pulled up somewhat to minus 32.9 from minus 39.3 in November. But contraction has been significant as this index has been at very negative levels for three months. New orders point to further weakness ahead as this index came in at minus 25.2. The unfilled orders index also remained significantly negative. Price pressures eased further as the prices paid index fell to minus 33.2 from minus 30.7 in November. Also, prices received dropped sharply to minus 37.8 from minus 15.5 the month before.

Prices falling and general business conditions contracting. Corporate profits going to turn around in the second half of ’09? Yeah, okay. Things aren’t really that pleasant down on the streets of Philadelphia…

Bruce Springsteen – Streets of Philadelphia:


I know, I know… somebody please make him stop! BTW, we are already tagging the 820 area and I think we base here for a while, but the last flag target is 800, so I think that's probably in play...