Stocks are sharply lower today as another key piece of economic data shows significant weakness. The latest reading of the ISM Manufacturing is not looking good. It showed a drop to 47.8% from a reading last month of 49.1%. This reading marks the lowest level since June 2009, when the Great Recession ended. Consensus estimates were looking for a reading of 50.2%.
The decline in activity is significant. Readings above 50 show expansion while readings below 50 show contraction. Only three of 18 sectors tracked by the survey reported growth, down from nine the month before.
The catalyst for the sharp decline in manufacturing could be a few issues.
President Trump quickly took to Twitter to voice his concern and blamed the Fed for keeping interest rate