It’s been surprising to many, that a week that was pregnant with the potential for surprises didn’t really produce any; the NFL draft notwithstanding. The deviations from expectations that did occur were not really all that surprising to those that have been paying attention.
Last week’s first unsurprising “surprise” came with a report that New Home Sales fell by 1.5% in March. More surprising than that was the revision of February’s 2% gain into a 0.4% decline. Oops. And, the 2% increase in Durable Goods Orders that would have been just what the doctor ordered, became a disappointing rise of just 0.8%. That rise becomes a 0.2% fall when transportation components are taken out of the equation. It is no mystery that weak business investment continues to be the manifestation of business uncertainty.