Comfortably beating expectations, and in Markit's words, USA is "booming again... as data suggests that GDP should be set to rise by at least 3.0% after the 1.0% decline in the first quarter," US Manufacturing PMI printed 57.5, its highest since May 2010. Despite the "booming" economy, employment rose only very marginally and new export orders growth dropped as prices rose once again.
Does it get any better than this? Markit is exuberant...
US industry is booming again, with the flash manufacturing PMI hitting its highest for just over four yearsin June. The strong reading also rounds off the best quarter for factories for four years, adding to indications that the US economy rebounded strongly in the second quarter from the weather-related weakness seen at the start of the year.
The survey data suggest that GDP should be set to rise by at least 3.0% after the 1.0% decline in the first quarter
Manufacturing output growth picked up for the third month running to its strongest since April 2010. Moreover, the average pace of expansion in Q2 was the steepest for any quarter since the survey began in early-2007.
The Fed's "you don't need QE anymore, the economy is doing great on its own" meme is confirmed. The market seems disappointed at the 'good news' and did not react at all.
But it's not all shits and giggles:
“If there’s a weak spot it’s the near-stagnation of exports, which raises the possibility that trade will have acted as a drag on the economy in the second quarter."