For the first time since 2012, the Richmond Fed business surveyr has been in contraction (below 0) for 3 straight months (and 4 of the last 5). Worse still, the six-month average of the business survey has not deteriorated this fast since Q2 2008. While the underlying components were mixed, inventory levels dropped (bad for GDP), average workweek tumbled (bad for incomes), and new orders re-plunged.
This is the worst drop in the six-month average of the Richmond Fed survey since Q2 2008…
But that cannot be right… Obama, Hillary, and Donna Brazile all said everything was awesome (in public).