Well, for the first time since I started this blog there is what I would consider to be some seriously good economic news. With me it's usually doom and gloom. Every so often some good news puts a smile on my face.
The news are in two sets of data that were released. First, there was an improvement in home sales and in durable goods orders. Granted, the data is for May and people tend to sell homes at this time. The kids are done with school, the weather's nice, and it's a good time to get settled in a new area if you are going to move. So I am not going to say it's great and that we're back because of it. But it's good. The second piece of data is that durable good orders rose. This is important for manufacturing. It means companies are buying new stuff in anticipation of selling new stuff. During the first 3 months of the year companies tended to hold back on new orders and depleted their inventories. So this could be a short-term gain where companies are stocking up goods after scaling down their inventories to the bone. It's not necessarily a sign we're back. But it's good.
All in all, I am cautiously pessimistic. Given the president's policies and the pending healthcare and carbon cap tax disasters around the corner, that's not bad for me.
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