Bears need some loving, so here’s a data set that might already have started the countdown to at least a major correction, if not a bear market.
Construction in the manufacturing sector has been extremely cyclical in the past. The past 3 major tops came in 2008, 2015 and possibly now. May data (released on July 3) is below that of April.
On a 12-month percentage change basis, the peaks were in October 2007, December 2011 and April 2015. All were within months of market corrections. The 2011 surge came after the correction from July to September, but this time is more like the 2007 and 2015 peaks that both preceded market declines.
