Re: March construction spending surges, business purchases rise

On 5/3/2010 5:27 PM, H&*$?%e wrote:
>
>
> From The Washington Post, 5/3/10:
> http://voices.washingtonpost.com/economy-watch/2010/05/march_construction_spending_su.html
>
> March construction spending surges, business purchases rise
>
> March construction spending rose more than expected and business
> purchasing hit its highest level since summer 2004, according to data
> released moments ago.
>
> March construction spending rose 0.2 percent, surprising forecasters
> who expected a 0.2 percent decline.
>
> That in itself would have been good news, because in February,
> construction spending contracted at a rate of 1.3 percent.
>
> A rise in construction spending means increased activity for
> associated businesses, including the Home Depots of the economy.
>
> Also, the Institute for Supply Management index — which tracks
> business purchasing in the U.S. and is seen as one gauge of economic
> activity — rose from 59.6 in February to 60.4 in March, hitting its
> highest mark in six years.
>
> This means businesses are beginning to buy all the goods that
> manufacturers cranked out in the fourth quarter of 2009, raising the
> GDP.
>
> The markets are responding favorably to this news and to the consumer
> spending data from this morning.
>
> _______________________________________________________
>
> Harry
is that why the market dropped 200 points in two days?