Producer Prices for Final Demand rose 0.5% in May. Prices less food and energy rose 0.1%. Prices less food, energy & trade services fell -0.1%. On a year-over-year basis, PPI-FD is down -1.1%, less food & energy up 0.6%, and less food, energy, and trade services up 0.6%. Other numbers from the release:
PPI-FD Goods – M/M change: 1.3 %
PPI-FD Goods – Y/Y change: -4.3%
PPI-FD Services – M/M change: 0.0%
PPI-FD Services – Y/Y change: 0.6%
The University of Michigan’s Consumer Sentiment index rose 3.9 points to 94.6.
Retail Sales for May rose 1.2% overall, 1.0% less autos, and 0.7% less autos and gas. This looks like a rebound from the soft 1st Quarter.
Export prices rose 0.6% in May, while import prices rose 1.3%, after a year of declines. On a year-over-year basis, export prices are down -5.9% and import prices are down -9.6%.
Business inventories rose 0.4% in April, while a strong 0.6% increase in business sales left the stock-to-sales ratio unchanged at 1.36.
Initial weekly jobless claims rose 3,000 to 279,000. The 4-week average rose 3,750 to 278,750. Continuing claims rose 61,000 to 2.265 million.
The Bloomberg Consumer Comfort Index fell -0.4 points to 40.1 in the latest week.
The Fed’s balance sheet rose $2.7 billion last week, with total assets of $4.468 trillion. Reserve bank credit rose $7.1 billion.
The Fed reports that M2 money supply fell by $-15.0 billion in the latest week.
The MBA reports that mortgage applications rose 8.4% last week, with purchases up 10.0% and refis up 7.0%.
Information revenue rose 0.4% in the 1st Quarter. Year-on-year, information revenue rose 3.0%.
The Treasury reports an $-82.4 billion deficit for may, with tax receipts up 12.4% and spending up 4.0%. The deficit is running 16.3% below last fiscal year, at $365.2 billion vice $436.4 billion this time last year.
Redbook reports that last week’s retail sales continued to disappoint, down to 1.2% on a year-ago basis, from the previous week’s 1.7%.
The NFIB’s small business optimism index came in well above expectations, at 98.3 for a very solid 1.4 point gain in May.
Wholesale inventories rose 0.4% in April but far below a giant 1.6% surge in sales. The stock-to-sales ratio edged down to 1.29 from 1.30.
The Labor Department’s JOLTS Report shows April job openings at 5.376 million, the highest reading in the history of the series since 2000.
The Employment Situation in May perked up, with 280,000 net new jobs created, though unemployment rate rose 0.1% to 5.5%. The labor force participation rate rose to 62.9%, with 397,000 entrants to the labor force, of which 208,000 were re-entrants. Average hourly earnings rose 0.3%, while the average workweek remained steady at 34.5 hours.
Consumer credit rose by $20.5 billion in April, helped by an $8.6 billion increase in revolving credit.
Chain stores are reporting no better than mixed results for May, offering no clear signal for the May retail sales report.
The layoff count in the Challenger Job Cut Report fell to 41,034 in May, vice 61,582 in April.
Productivity in the 1st Quarter of 2015 dropped -3.1%, while unit labor costs jumped 6.7%.
Gallup’s U.S. Payroll to Population employment rate fell -0.6% to 44.5% in May, identical to the rate measured in May 2014.
Initial weekly jobless claims fell 8,000 to 276,000. The 4-week average rose 3,250 to 274,250. Continuing claims fell 30,000 to 2.196 million.
The Bloomberg Consumer Comfort Index fell -0.4 points to 40.5 in the latest week.
The Fed’s balance sheet rose $1.4 billion last week, with total assets of $4.465 trillion. Reserve bank credit fell $-11.3 billion.
The Fed reports that M2 money supply rose by $19.2 billion in the latest week.
The MBA reports that mortgage applications fell -7.6% last week, with purchases down -3.0% and refis down -12%.
ADP estimates that private payrolls rose a moderate 201,000 in May. We’ll see how true that is in Friday’s Employment Situation.
Rising imports lowered the April trade deficit to $-40.9 billion from $-51.4 billion in March.
Gallup’s U.S. Job Creation Index reached a new high of 32 in May, up from 31 in April.
Markit’s PMI Services Index fell from 57.4 in April to 56.2 in May.
The ISM non-manufacturing index for May, at 55.7, came in at the low end of Econoday expectations, falling -2.1 points.
The Fed’s Beige Book downgrades the strength of the economy today, with four of the Fed’s twelve districts reporting slowing growth.
Motor vehicle sales made a big 7.9% jump in May, to an annual sales rate of 17.8 million. North American-made vehicles also jumped 7.6% to a 14.2 million rate.
Gallup’s Economic Confidence Index dropped -4 points in May to -7.
Redbook reports that last week’s retail sales growth remained weak, rising to just 1.7% on a year-ago basis, from the previous week’s 1.6%.
Factory orders fell -0.4% in April for the 8th decline in 9 months. Ex-transportation, factory orders were unchanged.
Personal income rose 0.4% in April, while personal spending—and the PCE Price Index—was unchanged. The core price index, which excludes food and energy prices, rose 0.1%. On a year-over-year basis, prices are up 0.1% overall, while the core price index is up 1.2%.
The PMI Manufacturing Index fell -0.1 points in May to 54.0.
The ISM Manufacturing index, in contrast to the PMI, rose 1.3 points to 52.8 in May.
Construction spending rose a much better-than-expected 2.2% in April, compared to March’s -0.6% decline. On a year-over-year basis, construction spending rose 4.8%.
Gallup’s self-reported Consumer Spending measure was unchanged at $91 per day in May.