Economy in Brief: May 2013

Labor market improvement is continuing. Initial claims for unemployment insurance fell to 324,000 (-12.7% y/y) during the week ended April 27 from a revised 342,000 during the prior week, initially reported as 339,000. Consensus [...]

After several months at the highs for the economic recovery, U.S. vehicle sales have begun to decline. Unit sales of light motor vehicles during April fell 2.3% m/m (+5.7% y/y) to 14.92M (SAAR) according to the Autodata Corporation. [...]

As expected, the Federal Open Market Committee today left the Federal funds rate in a "range from 0 to 1/4 percent". The Fed funds rate has remained unchanged since late-2008 at its lowest level ever. The discount rate also was left [...]

Reversals and revisions can change the picture of an economic series. Such was the case with the latest construction put in place numbers. Building activity fell 1.7% (+4.8% y/y) in March and reversed a 1.5% February rise. Moreover, [...]

The factory sector continues to shed its past strength. The April composite index of manufacturing activity from the Institute for Supply Management slipped to 50.7 from an unrevised 51.3 in March. The figure slightly disappointed [...]

The labor market is losing forward momentum. That's the indication from the ADP/Moody's National Employment Report which showed a 119,000 rise (1.6% y/y) in non-farm private sector jobs last month. That followed downwardly revised [...]