Continuing the trend of dismal regional Fed survey data, Kansas City's Manufacturing sentiment slumped to -10 in April (from 0.00 with expectations of a small drop to -2).

Source: Bloomberg

The decline was driven more by nondurable goods plants, especially printing, plastics, paper, and food manufacturing.

All month-over-month indexes declined, except for the raw materials prices, finished product prices, average employee workweek, and supplier delivery time indexes.

While the headline data is bad enough, the comments are much scarier:

Not a pretty picture but it's what Powell wants and it fits with continued weakness in growth and no weakness in inflation (stagflation) that this morning's GDP hinted at.