ISM: Getting Better and Not as Far from Good

As highlighted in an earlier post, the ADP Employment report has shown improvement for four straight months, but it is still far below levels that we saw prior to the Lehman bankruptcy. This morning's ISM report, however, tells a different story. June's level of 44.8 is the sixth straight month over month increase, as well as the highest monthly reading since the Lehman bankruptcy in September 2008. Now, if only the stock market would follow suit.

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Comments

[E Nuff Sed:]

The business conditions are clearly stabilizing because of massive government intervention. Now that the government has primed the pump - can the economy continue on its own? Until investors can answer in the affirmative - the stock market will continue to trade in a narrow range.

www.philadelphiafed.or.../

Jul 01 01:10 PM