HOPES OF ECONOMIC REBOUND TAKE A KNOCK

After the small rebound in the last reported US ISM manufacturing number a wave of hope spread through markets that we were going to see a second half economic recovery.

Today's Empire Manufacturing survey REVERSED it's small rebound falling to new lows for both the headline Empire Index (-34.7 Feb vs -23.75 consensus) and the New Orders sub index.

The Employment sub index also fell to near a record low and the Ave Workweek index (-31 Feb vs -23.9 Jan) fell to a record low.

Price pressures declined for a 3rd straight month but this month selling prices fall outpaced input prices fall!

The Empire Survey. which is the state of New York's, has recently been leading the National ISM index.