I thought that the above graphic is an excellent visual of the deleveraging process that the country has begun to undertake but also the scope of the problem and the length of the road ahead.
As for wholesale trade data just released... a positive increase in inventory orders from wholesalers show that consumer demand continues to exist and may be slightly increasing from the very slow pace of the past few months. A key data point (inventory to sales ratio) rose to its highest level since February at a rate of 1.16 -- not this is still below the year ago level of 1.27, which underlines the economic stall that began in the 2Q of 2010 and is expected to continue throughout the year.
Impressive!
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