Courtesy of Mish.
On July 3, we discussed the divergence between the Markit and ISM diffusion indexes for manufacturing.
Today, let’s look at ISM Nonmanufacturing vs Markit Services.
Real GDP
If the economy was indeed growing for 95 consecutive months (Nearly 8 Years), the above chart would not look like it does.
For the first quarter, ISM estimated 4.3% GDP growth.
Today the ISM says “The past relationship between the NMI® and the overall economy indicates that the NMI® for June (57.4 percent) corresponds to a 3.3 percent increase in real gross domestic product (GDP) on an annualized basis.”
Markit Services PMI
