Strike 1 = Industrial Production report on Friday showing contraction for the 5th straight month. And all key measures are under consensus.
Strike 2 = Empire State Mfg Survey was barely in positive territory at 3.09, but under consensus of 5.00. The employment component is down as is the 6 month outlook. This was more of a foul ball strike, then a straight up whiff.
Strike 3 = Consumer Sentiment on a clear downward trend since the peak in January. 88.6 showing was much lower than 95.9 last month. This bodes poorly for consumer spending in the near future.
In baseball 3 strikes means you are out. But just like baseball, there will be more turns at bat and we just might hit a home run the next time up.
Until those better results come around you will find me in the dugout at just 36% long.
aka Steve Reitmeister
Executive Vice President, Zacks Investment Research