Manufacturing PMI's tank - batten down the hatches...its going to be a rough ride!

[Trippy]

Manufacturing activity contracted significantly in April as conditions weakened amid a strong Australian dollar, intense import competition, high energy costs and weak local confidence.

The Australian Industry Group Australian Performance of Manufacturing Index (Australian PMI®) fell 7.7 points to 36.7 on a seasonally adjusted basis. (Readings below 50 indicate a contraction in activity with the distance from 50 indicative of the strength of the decrease.)
This is the lowest level the Australian PMI® has recorded since May 2009, with many of the key sub-indexes also dropping to levels not seen since 2009. The three-month moving average in April fell to 42.2 points from 43.4 points in March

http://www.scribd.com/doc/138785833/pmi-final-report-april-2013-pdf

Check out the full report, but in essence:

Production and capacity utilisation both collapsed,
New orders and exports both collapsed,
Employment collapsed,
Everything collapsed!!
There is not one iota of good news here. Keep in mind this is BEFORE the proposed tax hikes, public sector cuts (Qld another 33% of public sector jobs to go), rise in medicare levy, ballooning budget deficit...

We are about to experience the GFC we missed 5 years ago....it is now not a question of if, rather than when...

 

[The Fence]

http://www.scribd.com/doc/138785833/pmi-final-report-april-2013-pdf

Check out the full report, but in essence:

Production and capacity utilisation both collapsed,
New orders and exports both collapsed,
Employment collapsed,
Everything collapsed!!
There is not one iota of good news here. Keep in mind this is BEFORE the proposed tax hikes, public sector cuts (Qld another 33% of public sector jobs to go), rise in medicare levy, ballooning budget deficit...

We are about to experience the GFC we missed 5 years ago....it is now not a question of if, rather than when...

Only if you let it get to you Trippy.

Boy you really are tripping out, relax man...!

 

[grubar30]

x2

I'll add my two cents....

The first few pages of today's CourierMail practically all about the concessions that we as a state in QLD are goign to have to make to get out of this debt situation we're in......GOVT looking to cut public sector jobs by a 3rd over the next five years...on top of the massive amounts already cut.

Unemployment is getting ugly man.....that's on top of manufacturing and retail and construction which a terminal

and the icing on the cake - RPData just came out today and said dwelling values contracted by 0.5 per cent over the month of April after posting a solid 2.8 per cent gain over the first three months of 2013

http://www.smh.com.au/business/the-...-speed-bump-20130501-2irzl.html#ixzz2S1e9cLZv

Dead Cat bounce baby!

It's bad, bad and bad allround.....but the perma-bears on here will spin it otherwise.

 

[The Fence]

It's bad, bad and bad allround.....but the perma-bears on here will spin it otherwise.

You spin wonderfully well as well.

Enter Daz for some explanation as to why you lot are spewing about having to tighten the belt......

 

[Ausprop]

and a zombie RBA with IR's off the planet. they need to cut and cut fast.

hello property boom

 

[Rolf Latham]

and a zombie RBA with IR's off the planet.

I have been suggesting for a while that the economy isnt off with the pixies, but the data available to decision makers is obviously rubbish.

when you get stats that say 60 k jobs were lost in a monht but the employment rate went down due to decreased participation rates you need to start wondering who is who in the asylum.


ta
rolf

 

[tambourineman]

and a zombie RBA with IR's off the planet. they need to cut and cut fast.

hello property boom

They have already cut rates significantly and there has been no property boom. I think people over estimate the effect interest rates have I'm the market it still has barriers to entry like affordability deposits tighter lending criteria than before the gfc stamp duty etc

 

[BayView]

And amazingly, the Gubbmint still manage to tell us with a straight face that they created over 70,000 jobs over the last whenever.

Just another anecdote from my industry (automotive); yet another rep today trying to sell me stuff; to which I yet again replied; "chequebook is closed until further notice" and he said it's the same everywhere.

I have heard nothing but this for several months now, and I have been bangin' on about the "real economy" for over a year.

They have already cut rates significantly and there has been no property boom. I think people over estimate the effect interest rates have I'm the market it still has barriers to entry like affordability deposits tighter lending criteria than before the gfc stamp duty etc

The lending criteria have not relaxed since the GFC - loads of folk simply cannot qualify to get finance.

 

[grubar30]

The economy ain't bad.....they're cutting rates for just something to do