Following last month's biggest miss in a year, Chicago PMI resurged to its highest level (and biggest beat) since October 2013. Optimism is rife in the report as the rise in new orders and production is now instantly extrapolated into escape velocity growth (as opposed to catch-up demand). Prices Paid dropped... which is odd if there's so much awesome demand? Employment improved, but did not offset March's decline. Of course, the 5 standard deviation beat of expectations is now considered the new normal...
“It’s a good start to the second quarter, and the increases in New Orders and Production lend support to growing views that US GDP growth is set to accelerate,” Philip Uglow, Chief Economist at MNI Indicators said.
* Business activity has been positve for 12 months over the past year.
* Prices Paid fell compared to last month
* New Orders rose compared to last month
* Employment rose compared to last month
* Inventory rose compared to last month
* Supplier Deliveries fell compared to last month
* Production rose compared to last month
* Order Backlogs rose compared to last month
* Number of Components Rising: 5