Stocks kicked off the week with strong gains despite little substantial news. Another 5-banks went to the receivers Friday; LibertyBank, Eugene, OR; The Cowlitz Bank, Longview, WA; Coastal Community Bank, Panama City, FL; Bayside Savings Bank, Port Saint Joe, FL and NorthWest Bank & Trust, Acworth, GA this took the year to date total of failed banks to 108.
Construction spending increased .1% in June but remains 7.95 lower than a year ago. Heralded as good news compliments of a substantial beat of the expected number, which was a decline of .6%. A close examination of the data shows that the entire gain was compliments of public construction as private construction fell across the board. Commercial construction activity fell to a 5-year low.
The ISM Manufacturing Index fell for a 3rd consecutive month to 55.5. While still showing expansion, New Orders fell 5 points to 53.5 and notable declines were seen in imports and production. The inflation measuring Prices Paid component has fallen a staggering 20.5 points in the last 3-months to 57.5. While prices are still increasing this component shows the undue influence of commodities price fluctuation of late and indicates that deflation is much more of a concern than inflation. The one bright spot being Employment, which increased .8, points to 58.6.
Hi and welcome to The Profit Motive, I’m your host Caleb Lawrence. Once upon a time in America the media acted as the watchdog of the corporations and the state. In the modern era it’s all about ratings and profits, opinion has been substituted for news and frequently is presented as fact. 
