Texas Economy Collapses - Dallas Fed Survey Crashes To 6-Year Lows As "D" Word Is Uttered
For the 13th month in a row, The Dallas Fed Manufacturing Outlook was contractionary with a stunning -34.6 print following December's already disastrous collapse back to -20.1, post-crisis lows. With "hope" having plunged back into negative territory (-2.2) in December, January saw a complete collapse to -24.0 as one respondent exclaimed, "we expect the continued depression in the oil and gas industry to negatively impact our customer base and result in significant demand reduction."
Bloodbath...
Even MarketWatch whom I always take with a grain of salt are facing up to the reality:
Dallas Fed manufacturing survey slides to recession-era levels
Published: Jan 25, 2016 12:28 p.m. ET
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It’s getting ugly in the energy sector.
The Dallas Fed’s manufacturing survey in January fell 13 points to -34.6, marking the worst reading since the Great Recession. The index, like those from the New York and Philadelphia Fed, is designed so that readings below zero indicate contraction in activity.
Production swung from positive to negative territory, and the new-orders index edged further into contraction reading.
“We expect the continued depression in the oil and gas industry to negatively impact our customer base and result in significant demand reduction,” said one respondent to the survey."
