The news of Caterpillar’s proposed layoffs of 10,000 employees on falling demand came as a shock to some, but not if you watch the commodities markets.
Copper and lumber, two construction bellwethers, have been falling in recent years. And Caterpillar has followed.
China, the main culprit in the global slowdown, has seen exports falling since 2013 in terms of growth rates.
No wonder Fed Chair Janet Yellen almost passed out while speaking yesterday.