Chicago PMI Renews Concerns About Economic Recovery

The Chicago Purchasing Managers Index, or PMI, is adding to today's gloomy economic news. Expectations were for a reading of 63, with the actual number coming in dramatically lower at 52.6. Weakness was evident across the board, with new orders, backlog, and production all declining. Chicago PMI can be a fairly volatile number, given last month's strong reading of 62.6. This drop marks the biggest drop since October 2008, and the lowest level since June 2013, likely raising questions about the strength of the economic recovery. Tomorrow's PMI Manufacturing Index, due out at 9:45 EST, should provide further evidence of the whether this is a one month lull or the beginning of a weakening trend.