In reference to what I wrote last week, this is a bit less blatant in its dishonesty surrounding the “boom.” PMI’s, very much like the unemployment rate, are not meant for this economy, the one where symmetry was left behind a decade ago. They are simply unable to normalize to the shrinking because they assume right from the start it just isn’t possible. A 50 is a 50, or a 60 a 60, because everyone still believes long run economic trends just don’t all of a sudden break.
The Ballyhooed Boom That Isn’t
