Submitted by Michael McDonald via OilPrice.com,
$240,000. More than British Prime Minister David Cameron earns per year.
Back in 2013, Oilprice.com published an article about a cook on an Australian offshore platform earning this kind of salary during the heydays in the oil sector. But things have changed in the oil patch.
We're gonna need more money-printing. Consumer Confidence dropped in April to 94.2, missing expectations of 95.8 and hovering at its lowest in 2 years. In fact, the current level is relatively unchanged since the end of QE3, despite all the recent surges in stocks as the post-2009 94% correlation between the S&P 500 and confidence is breaking down rapidly and ruining The Fed's animal spirits' party.
Following the weakness in Philly and Dallas Fed regional - fading off Feb/Mar dead cat bounces - Richmond Fed's epic 9-standard-deviation biggest spike ever to 7 year highs in March appears to have been a one of as it fell back from 22 (3rd highest ever) to 14 (still above expectations) - the biggest drop since August. Of course how one can take this seriously is anyone's guess as shipments , new orders, wages, and workweek all crashed from March's embarrassing spike as did inventory levels for finished and raw materials (not good for Q2 GDP).
With Manufacturing PMI at multi-year lows and trending lower, why would anyone be surprised that, amid plunging profits in retailers and weakness in restaurant performance indices, Markit's preliminary Services PMI for April would bounce for the 2nd month in a row to 52.1. However, as Markit notes, despite th emodest pickup, "growth is clearly far more fragile than this time last year."
Dead cat bounce?
As Markit details,
Moments ago, in its latest update, Case Shiller pointed out that for another month "Home prices continue to rise twice as fast as inflation." Actually that is an understatement: in two-third of the tracked metro areas, the pace of home appreciation over the past year was 6% or higher, or equivalent to three times as fast as inflation. And with rents continuing to soar across the country, in many cases at a double digit clip, not to mention exploding healthcare costs, one wonders just what the BLS "measures" with its monthly CPI update.