Economy in Brief: May 2020

• Lower energy prices lead the decline. • Food prices jump with increased at-home consumption. • Core goods prices broadly weaken. The CPI fell 0.8% (+0.3%) during April, the largest decline since late-2008. The fall was double the [...]

• NFIB Small Business Optimism Index falls to a seven-year low 90.9 in April. • Nine out of ten components decline except expectations economy will improve. • Deflationary pressures set in with a record net 3% of firms planning on [...]

IP flatlines then heads straight for Dante's inferno Italy's Industrial production fell sharply in March as Europe is gripped in early-May by reopening fever. Of course, the March report on IP lags. May is 'real time' so these events [...]

The Industrial Materials Price Index from the Foundation for International Business and Economic Research (FIBER) fell 0.8% during the four weeks ended Friday. The price index has moved irregularly sideways for the last six weeks but [...]

• Wholesale inventories decreased 0.8% in March, the third consecutive monthly contraction. • Inventory to sales ratio jumps as sales fall 5.2%. • While inventory swings can have a meaningful impact on GDP, in the current quarter they [...]

• Labor market collapses as coronavirus takes hold. • Jobless rate surges to record for monthly data reported back to 1948. • Lower paid workers bare brunt of job cuts. Nonfarm payroll employment declined a record 20.500 million [...]

• Wholesale inventories decreased 0.8% in March, the third consecutive monthly contraction. • Inventory to sales ratio jumps as sales fall 5.2%. • While inventory swings can have a meaningful impact on GDP, in the current quarter they [...]

German exports fell by 11.8% in March, a record drop in exports. Trade details lag by one month and are not very useful in understanding new developments in trade since this month is simply off the cliff in comparison with everything [...]