Yesterday I was saying how the Chicago PMI was a very very bullish economic number except it didn't match any other economic number. Well today the ISM widened this divergence. Not a good number and the internals were especially weak. As a result the dollar got pounded again and the stock market went up.
Basically all you have to look at is this:
New Orders June Through September:
June 2010 - 58.5
July 2010 - 53.5
August 2010 - 53.1
September 2010 - 51.1
Inventory June Through September
June 2010 - 45.8
July 2010 - 50.2
August 2010 - 51.4
September 2010 - 55.6
Inventory is building and new orders are declining. Enough said.