Auto Sales, ISM, EIA, Construction
Auto sales GM +6%; cars +14.6; trucks -0.3%; Ford +2.7%; cars +23%; trucks -7%; Chrysler +5%.
Showing auto sales rebounding after a Q4 disaster; we anticipate deep price cuts and incentives Q1 will cause a rebound for Q1 and push GDP back up into the 3% range. Will this be an "inflationary" shock to the markets?
Construction Spending +1.0% vs prior 0.5% showing a surge from Gulf rebuilding efforts. ISM Index 54.8 vs prior 55.6.
Inside the number: new orders 58 vs prior 59.1; employment 51.3 vs prior 53.6; price index 65 vs prior 63; showing rising costs and lowered orders. Construction spending and ISM price index clearly show Inflation is still the order of the day.
EIA Crude: Oil +1.9M ; Gasoline +4.3M; Distillates -198K. Showing a build in oil and gasoline.
Refineries capacity @ 87% vs. prior 88.1% ; Oil Reserve @ 321M vs prior 319M; Net imports oil down 9.622 M vs prior 9.738M; petroleum products down 2.927 M vs prior 2.892M; Total demand -0.8% YOY; gasoline demand +0.8% YOY; distillate demand -1.8% YOY.
Inside the number: Net imports are down, draw is down, reserves are up, prices should drop and did; crude -2%, gasoline -4.2% and natural gas -5.3%
Showing auto sales rebounding after a Q4 disaster; we anticipate deep price cuts and incentives Q1 will cause a rebound for Q1 and push GDP back up into the 3% range. Will this be an "inflationary" shock to the markets?
Construction Spending +1.0% vs prior 0.5% showing a surge from Gulf rebuilding efforts. ISM Index 54.8 vs prior 55.6.
Inside the number: new orders 58 vs prior 59.1; employment 51.3 vs prior 53.6; price index 65 vs prior 63; showing rising costs and lowered orders. Construction spending and ISM price index clearly show Inflation is still the order of the day.
EIA Crude: Oil +1.9M ; Gasoline +4.3M; Distillates -198K. Showing a build in oil and gasoline.
Refineries capacity @ 87% vs. prior 88.1% ; Oil Reserve @ 321M vs prior 319M; Net imports oil down 9.622 M vs prior 9.738M; petroleum products down 2.927 M vs prior 2.892M; Total demand -0.8% YOY; gasoline demand +0.8% YOY; distillate demand -1.8% YOY.
Inside the number: Net imports are down, draw is down, reserves are up, prices should drop and did; crude -2%, gasoline -4.2% and natural gas -5.3%
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