RE:RE:US Baker Hughes Rig Count out and Canada PMI & FED decision Talking US rig count and Canada PMI?
I can only assume someone I have on ignore sounds like the small cap guy
What a strange combination for the same post.
Noisy
Tradestay wrote:
Though PMI, in Canada drop its well above a average if you look at a 10 year chart. Then also you have to consider PMI is about purchase managers opinions which is influence by media. Eg during Covid we saw a huge decline historically but GDP and unemployment quickly improved from an upfront shock. Right now unemployment are at historic lows still. Then we have rate increase, 2008 to 2016 were low periods, rates are currently where they were in 2019 prior to pandemic. The differnece between 2019 and 2022 is huge improvements to household balance sheet will all the government incentive. This improvement in household balance sheet is counteracting rate increase, especially when rates are only where they were in 2019, look at a 25 year and 5 years chart. Another interesting point US GDP is in a technical recession but its at record high over the last 10 years. Cude oil consumption is still below 2019 levels and we are having inventory draws across the board. This exonomic event needs a whole new name, recession does not cut it anymore.