After 4 months of missed expectations, US Construction Spending rose 1.1% in October, beating the 0.6% expectations, and the highest MoM since May 2014. Great news... the recovery is back, right? Scratch barely below the surface of this algo-loving headline though and the unsustainable reality peaks out. US Government construction spending spiked 19.3% in October, the most since 2006... seems like we need to dig some holes and fill them in again...
Yay! Headline construction spending rose more than expected....
[4]
Driven by a huge spike in government construction spending...
[5]
And stocks love it!!
Charts: Bloomberg
