A busy day for the manufacturing sector world wide, Japan took the first shot announcing their Tankan survey for the first quarter showing a greater decline than Forecast, Europe and UK will release the Manufacturing PMI while the U.S. are releasing the Manufacturing ISM index.
The Institute of Supply management will announce today the manufacturing index for the month of March, with expectations to show a deeper contraction than any other in the last five years, it is expected to see a reading of 47.5 down from 48.3 in February, while we all know that a reading just below 50 is a sign of an economic contraction.
Well, with less spending less sales, less hiring how do you expect factories to produce, in times of recession factories tend to reduce their production levels, cut unnecessary jobs, maybe cut some product lines from its variety, with rising input prices that rhythm is expected to be faster in this recession, it is not only that people reduced the demand on the final goods, but the raw materials are actually corrupting production and reducing all profit margins from producers all over the world, and yes the problem is all around the world, the global slow down is not giving a chance to producers to even do and send, the markets are dead inside and outside...
Manufacturing was one of the first sectors to suffer the current crisis, it was the fist to sense the leak from the housing sector, then was followed by the services industry, and now we are interested the most with level of contribution it has on the jobs' market, as it is still our main concern for this week, and to tell you the truth, maybe it is the main concern in the economy overall, as everybody might still see or looking at least to see the hope there.
Dollar regained some of the strength after Mr. Paulson explained a new blueprint for the economy and the financial sector in general, but this is like a very long term plan, lets wait and see how much is it gonna be able to support the dollar and for how long...
The Institute of Supply management will announce today the manufacturing index for the month of March, with expectations to show a deeper contraction than any other in the last five years, it is expected to see a reading of 47.5 down from 48.3 in February, while we all know that a reading just below 50 is a sign of an economic contraction.
Well, with less spending less sales, less hiring how do you expect factories to produce, in times of recession factories tend to reduce their production levels, cut unnecessary jobs, maybe cut some product lines from its variety, with rising input prices that rhythm is expected to be faster in this recession, it is not only that people reduced the demand on the final goods, but the raw materials are actually corrupting production and reducing all profit margins from producers all over the world, and yes the problem is all around the world, the global slow down is not giving a chance to producers to even do and send, the markets are dead inside and outside...
Manufacturing was one of the first sectors to suffer the current crisis, it was the fist to sense the leak from the housing sector, then was followed by the services industry, and now we are interested the most with level of contribution it has on the jobs' market, as it is still our main concern for this week, and to tell you the truth, maybe it is the main concern in the economy overall, as everybody might still see or looking at least to see the hope there.
Dollar regained some of the strength after Mr. Paulson explained a new blueprint for the economy and the financial sector in general, but this is like a very long term plan, lets wait and see how much is it gonna be able to support the dollar and for how long...