Just a quick sidebar to my latest weekly outlook on Seeking Alpha:
It’s difficult to make a bearish case on the US economy when corporate profits are strong and trending up. Another very good signal for the business climate is C&I loans. We have heard that banks weren’t lending, and businesses didn’t want to borrow anyway. That’s not what the data in this chart show:
With C&I lending turning up, we can expect business profit outlooks to be favorable. Say what you want about corporate executives, but they wouldn’t be borrowing if they didn’t see opportunities to invest and grow their businesses. That’s a very good sign.