Just a quick note, because it hasn’t been getting much attention.
The Citigroup Economic Surprise Index, a measure of how well economic data is coming in vs. expectations, is starting to tick back up. We’d been tracking its decline for a while, and not surprisingly, the market started declining not long after it did.
Anyway, we’ve finally had some beats lately (some decent housing news, yesterday’s capacity utilization, etc.) and things aren’t deteriorating like they were just a few weeks ago.