That February spike that was the catalyst for oh so much aggressive JPY selling and US equity buying and "see, we told you so, here comes the post-weather pent-up-demand exuberance" has been crushed by the sad and painful truth of reality. For the 2nd month in a row, Markit's US PMI dropped and missed expectations... despite weather being a thing of the past. Sadly the story gets worse, as Markit notes "on the inflation front, manufacturers experienced a
further solid increase in average cost burdens in April," adding that pricing pressures, "will feed fears that the
recovery remains on a weak foundation of intense price competition." Need moar snow...
[5]
And the full breakdown...
[6]
Source: MarkitEconomics