The most important ISM element is the one that improved the most in September; New Orders. Order Backlog contraction eased as well, to near even.

A few notables are highlighted among ISM respondents….

Here’s a look at the booking trend. Was August just a dead summer vacation month? When I used to be in the business it often was. Whatever it was, September is back in expansion mode.

If the general manufacturing segment is indeed still doing well it would be another marker in agreement with our currently favored theme of economic bounce and inflationary pressure as indicated by the Semiconductor Equipment sector and the Palladium-Gold ratio, which has technically crossed the moving averages to a (let’s call it preliminary) signal.