Q1 Productivity & Pending Home Sales March
Summary: Media Headlines read...
a solid productivity report as non farm productivity grew while labor costs came in lower than expected.
Pending home sales decline, but 2nd half rebound expected. Meanwhile under the sheets we discover...
Productivity-Prel Q1 +2.2% vs prior +1.9% Full Report
Inside the number: From the report, "The productivity gains were due primarily to declines in hours worked."
Emasculation continues: Q108 manufacturing output -0.3%; durable -0.5%; non durable -0.1%.
Confirming broadbased layoffs: Hours worked manufacturing persons -4.2%; durable -2.8%; non durable -6.6%; business sector -1.6% and ALL persons -1.8%
So the productivity gains should approximate the actual labor cutbacks: manufacturing +4.1%; durable goods +2.3%; non durable goods +7%. Isn't that amazing?
Table 2 & 3: Non Farm Business Sector & Manufacturing hours worked have declined 4 of the last 5 quarters.
Table 1 & 3: Business Sector & Manufacturing real compensation have declined 5 of the last 8 quarters.
Table 6: Non Financial Corporate Sector real hourly compensation has declined 7 of the last 12 quarters. Unit profits decline Q307 -10.2%; Q407 -16.9%; 2007 -5.7%
Pending Home Sales Mar -1% vs prior -1.9 Full Report
Inside the number: The debacle continues... prior decline revised as larger from -1.9 to -2.8%. Yoy decline -20.1%; YTD -21.7%
With growing unemployment, tougher underwriting and higher interest rates in store,
unlike the NAR cheerleaders, we see no rational or logical reason to expect any reversal of this trend in the near term.
a solid productivity report as non farm productivity grew while labor costs came in lower than expected.
Pending home sales decline, but 2nd half rebound expected. Meanwhile under the sheets we discover...
Productivity-Prel Q1 +2.2% vs prior +1.9% Full Report
Inside the number: From the report, "The productivity gains were due primarily to declines in hours worked."
Emasculation continues: Q108 manufacturing output -0.3%; durable -0.5%; non durable -0.1%.
Confirming broadbased layoffs: Hours worked manufacturing persons -4.2%; durable -2.8%; non durable -6.6%; business sector -1.6% and ALL persons -1.8%
So the productivity gains should approximate the actual labor cutbacks: manufacturing +4.1%; durable goods +2.3%; non durable goods +7%. Isn't that amazing?
Table 2 & 3: Non Farm Business Sector & Manufacturing hours worked have declined 4 of the last 5 quarters.
Table 1 & 3: Business Sector & Manufacturing real compensation have declined 5 of the last 8 quarters.
Table 6: Non Financial Corporate Sector real hourly compensation has declined 7 of the last 12 quarters. Unit profits decline Q307 -10.2%; Q407 -16.9%; 2007 -5.7%
Pending Home Sales Mar -1% vs prior -1.9 Full Report
Inside the number: The debacle continues... prior decline revised as larger from -1.9 to -2.8%. Yoy decline -20.1%; YTD -21.7%
With growing unemployment, tougher underwriting and higher interest rates in store,
unlike the NAR cheerleaders, we see no rational or logical reason to expect any reversal of this trend in the near term.
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