Mosler Economics

America’s largest truck-engine manufacturer just announced 2,000 layoffs — and it’s another sign of the trucking ‘bloodbath’ that’s slamming the $800 billion industry Volvo announces mass layoffs due to lack of demand for trucks US Chemical Output Slows in October As Manufacturing Cools Oil Drillers Continue to Remove Rigs From Permian Basin Total US Rig Count Declines: Rigs engaged in the exploration and production of oil and natural gas in the United States totaled...

Top news!!!;) Deceleration most everywhere: Chicago Fed National Activity Index Falls Unexpectedly The Chicago Fed National Activity Index fell to -0.71 in October from -0.45 in September and below market forecasts of -0.43. That was the lowest reading since April, as all four categories made negative contributions to the index. Production-related indicators contributed the most to decline followed by employment. In contraction as rig counts continue to decline: The...

Tariffs taking their toll and no end in sight as global deceleration continues for both goods and services. These surveys are up a bit this month but still very low and too soon to suggest a reversal: Note how this blipped up last month but then resumed the downtrend: Deceleration resumes after a small blip up last month: Germany Private Sector Contracts for 3rd Month The IHS Markit Germany Composite PMI increased to 49.2 in November 2019 from 48.9 in the previous month...

Historically depressed and rolling over: The Philadelphia Fed Manufacturing index for current general activity rose by 4.8 points from the previous month to 10.4 in November 2019, beating market expectations of 7.0. Meanwhile, the indexes for current shipments and new orders fell 17.8 points and 9.1 points respectively. In addition, the current employment index decreased 11.4 points to 21.5. Both the unfilled orders and delivery times indexes remained positive this month,...

My take is that our President is focused on the $US he’s collecting from the tariffs which he construes as ‘winnng’: Markets more fearful about trade war, but still see chance for phase one deal and tariff rollback

You can see from the charts how depressed this cycle has been, and how housing has stalled out overall for the last few years, and all with ultra low mortgage rates: Permits which are more volatile have ‘spiked’ back to 1965 levels when the population was about half: A relatively small economy but the drop in exports is telling: Singapore’s non-oil domestic exports (NODX) tumbled 12.30 percent year-on-year in October 2019, following an 8.1 percent drop in September and...

Corporate cash flow turning?

More bad news for oil related capital expenditures: U.S. Rig Count Crashes Again: Loses Nearly 100 Rigs In 3 Months Highlights The Baker Hughes North American rig count is down 17 rigs in the November 15 week to 940. The U.S. rig count is down 11 rigs from last week to 806 and is down 276 rigs from last year at this time. The Canadian count is down 6 rigs from last week to 134 and, compared to last year, is down 63 rigs. For the U.S. count, rigs classified as drilling for...

Below 0 is contraction: How about this????? Powell: U.S. debt is ‘on unsustainable path,’ crimping ability to respond to recession

The private sector tends to be pro cyclical- tightening as the economy slows, thereby making it worse: