CHART OF THE DAY: Today's ISM Manufacturing Report Screams Inflation

It never ceases to amaze me how history - cycles and official responses continue to repeat with little public recognition. That is why devaluation has been part of the "unofficial" economic solution for centuries. While prosperity will never be achieved by devaluation of the currency, it takes a long time for the public to recognize it.

Today's ISM Manufacturing index result blew away expectations, hitting 59.6 vs. an expected 57. March ISM data shows the fastest U.S. manufacturing expansion since July 2004.

Yet hidden underneath the powerful headline ISM number is an even more powerful break-out by the ISM Prices sub-index, which is a component of the total ISM.

ISM Prices Paid Index (PP) to National Purchasing Manager's Index (PMI) Ratio:


Source: sfgate.com