Worst construction drop since 9/11 ... Ugly ISM data ... and more
We all know housing stinks, so it's no surprise that residential construction spending fell 1.9%. But what I find interesting is that NONRESIDENTIAL spending is also slipping. There was no change in nonresidential spending in October, and a 0.2% drop in September. As recently as this summer, we were seeing consistent monthly gains over 1%.
The market reaction: More of the same -- the dollar is getting pounded (and euro-ed, and yen-ed), with the Dollar Index recently down 29 basis points. Ten-year Treasury yields are down by just over 3 basis points.