Thursday, February 15, 2018 11:40 AM EDT
While the Empire Manufacturing report (released earlier) disappointed relative to consensus forecasts, the February Philly Fed report beat expectations, coming in at a level of 25.8 compared to January’s reading of 22.8. At 21 months and counting, the Philly Fed is currently in its longest streak of positive readings since August 2015. More impressively, though, the last 15 months have seen readings in excess of 20. The only other period in the history of the report (since 1980) that saw as many or more monthly readings above 20 was in the 17-month stretch ending in June 1984!
(Click on image to enlarge)
The table below shows the internals of this month’s report, which were mixed. While New Orders surged, Shipments dropped sharply. On the inflation front, Prices Paid saw the third largest increase of any component and is now at its highest levels since 2011 (chart below).
(Click on image to enlarge)
(Click on image to enlarge)
Finally, with respect to prices, one special question asked of respondents in this month’s report had to do with what the expected annual average percent change in prices will be for US consumers over the next ten years. As shown in the graphic below, respondents expect prices to rise by an average of 3% per year for the next ten years, which is up from 2.5% in November. Here again, we have another sign of inflation creeping into the picture.
(Click on image to enlarge)
Disclaimer: All information, data and analysis contained in the Site or the Service are provided “AS IS” and without warranty of any kind, either expressed or implied. All information, ...
more
Disclaimer: All information, data and analysis contained in the Site or the Service are provided “AS IS” and without warranty of any kind, either expressed or implied. All information, data and analysis provided by the Site or the Service is for informational and educational purposes only and is not a recommendation to buy or sell a security or basket of securities, including but not limited to equities, options and other derivative products, fixed income products, and ETFs. Bespoke believes all information, data and analysis contained in the Service to be accurate, but does not guarantee its accuracy. Under no circumstances, including, but not limited to, negligence, shall Bespoke, any of Bespoke´s affiliates, employees, or other third party data providers be liable to you for direct, indirect, consequential, incidental, special, punitive or exemplary damages even if an authorized Bespoke representative has been advised specifically of the possibility of such damages, arising from the use of or inability to use the Site or the Service, such as, but not limited to, losses, loss of revenue, anticipated profits or lost business. Applicable law may not allow the limitation or exclusion of liability or incidental or consequential damages. In no event shall Bespoke´s total liability to you for all damages, losses, and causes and action (whether in contract or tort, including but not limited to negligence) exceed the amount paid by you, if any, for accessing this Site or using the Service. All opinions expressed on this Site are subject to change without notice, and you should always obtain current information and perform appropriate due diligence before making trades or investment decisions. Bespoke, any of Bespoke´s affiliates, employees, or other third party data providers may have long or short positions in the securities discussed in the Service and may purchase or sell such securities without notice. Bespoke uses various methods to evaluate investments which may, at times, produce contradictory recommendations with respect to the same securities. When evaluating the results of prior Bespoke recommendations or Bespoke performance rankings, you should also consider that Bespoke may modify the methods it uses to evaluate investment opportunities from time to time. For this and for many other reasons, the performance of Bespoke´s past recommendations or investments is not a guarantee of future results.
The securities mentioned in this Site or in the Service may not be eligible for sale in some states or countries, nor be suitable for all types of investors; their value and income they produce may fluctuate and/or be adversely affected by exchange rates, interest rates or other factors. Please view Bespoke’s Form ADV here.
less
How did you like this article? Let us know so we can better customize your reading experience.