The two economic data points from today's docket just came in, and both were worse than expected. First, the durable goods revision, while slightly better at the headline level, printing at 2.1% compared to the 1.9% released initially, saw the far more improtant ex-transportation segment, which strips out that very volatile segment, decline from 0.6% reported initially to just 0.2%. Recall that this number was initially expected to be 0.9%. Thank god for Boeing's infinite(ly flexible) backlog. And second, to fully explain why the bizarro market algo has now taken over and everything is in the green, especially WTI which is about to take out $97 and make a completely shamockery of the IEA, is that May Factory Orders came at 0.8%, missing expectations of 1.0%, with the time shift pushed back, as April data was revised slightly higher to 0.9% from -1.2%. Net net, both data points have failed to validate the reverse decoupling that everyone is betting the farm on.
Economic News Resume Disappointing Trend As Factory Orders Miss Expectations, Durables Ex-Transportation Revised Lower
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