Whilst equities saw some rather dynamic swings to start the week, one of the older measures of economic strength/activiity - the Baltic Dry Index, broke a new multi-decade low, settling -6.5% @ 590, well below the 2008/09 collapse wave low of 663.
BDI, monthly
Summary
So... now the BDI is in the 500s.
I sure can't say its a bullish sign, but then... the BDI is an indicator that is greatly influenced by the number of transport ships in the world.
What can be agreed upon though... the BDI peak of 2008 - in the 12000s... looks infinitely out of range for some years.
As for equities...
An interesting day to start the month, with a closing hour ramp as a truck load of short-stops were no doubt hit.
sp'monthly'1
Unlike October.. the equity bears finally managed a bearish monthly closing... with a bearish MACD cross. For those not particularly 'technically' minded, it might seem like a minor issue.
Its not.
... and could be the preliminary warning of a multi-month down wave... in the manner of summer/autumn 2011... something the bears (myself included) have been seeking for a good three years.
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Looking ahead
Tuesday will see Factory orders data.
*there are two fed officials on the loose, notably Bullard, whom caused havoc for the bears in October.
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Goodnight from London
