Business Insight Zone

Today I was joking with my boss that I could give this blog over entirely to:

1. Updates about doings at Hoover’s, e.g. new product offerings or celebrating successes of Hooverites;
2. Talking about Twitter; and
3. Ranting about the state of financial journalism in this country.

I’m kidding. Mostly.

Here’s my teeth-grinder du jour, from Bloomberg:

U.S. Durable Goods Orders Rise Excluding Cars, Planes

Orders for U.S. durable goods, excluding automobiles and aircraft, unexpectedly rose in June, signaling manufacturing may expand in the second half of the year.

Excluding transportation equipment, demand for goods meant to last several years climbed 1.1 percent, the most in four months, the Commerce Department said today in Washington. Total orders fell 2.5 percent, the first decrease in three months. . . .

Emphasis on that last sentence because it’s the actual headline. Durable-goods orders fell 2.5% in June, as was pointed out in the very first sentence of the Census Bureau’s summary release that accompanied the data. So the Bloomberg headline might be something akin to one spouse saying to another: “I’ve been over our fixed expenses, honey, and we’re doing fine . . . excluding food.”

Now, the people at Bloomberg are smart, which makes me think two things:

1. “We know that automobiles and aircraft have been getting hammered, but is that obscuring trends in the rest of the manufacturing economy? Look, this story tells us! . . . Interesting angle from Bloomberg. My mind is growing!”
2. “This story, from the headline on down, overplays recovery and underplays trouble, directly contradicting the tenor of the Census Bureau’s release.”

Now, my question to you: which one of these reactions is more reasonable?