Research >> Economics
DJ-BTMU U.S. Business Barometer Up 0.1%
For the week ending June 5, 2010, the DJ-BTMU U.S. Business Barometer edged up by +0.1 percent building upon a +0.4 percent jump in the prior week. Strength in the latest week is misleading, however, as 70 percent of the barometer’s components declined. On the consumption side, a rebound in inflation-adjusted chain store sales helped temper waning box office receipts and the continued bloodletting in mortgage applications. On the production side, strong output in lumber and steel production was able to overcome a drop in motor vehicle and utility production. With only a few weeks to go, the second quarter is set to show very strong growth with the barometer posting an average year-over-year growth rate of around +4.0 percent. With the EU debt crisis looming and the return of financial market volatility, however, the second quarter could end up looking like a last hurrah for growth this year. We expect the U.S. economy to slow to below trend growth in the second half.
Posted: June 17, 2010 Thursday 10:00 AM