Last February 1 , I introduced you to my roommate, that lovely lady in my arms in the photo up to the left: Ms. Morgan le Fay McCulley. As faithful (for which I’m grateful!) readers will recall, Ms. Morgan is my 11-year-old son Jonnie’s delightful Netherlands Dwarf rabbit, who he generously “loaned” to me while my family was bi-coastal during the first year after my return to PIMCO. Morgan was a wonderful companion, entertaining me for hours as I read and worked at the apartment.
The only problem was that she insisted on too much fun, playing hide and seek for at least 30 minutes before she’d “let” me catch her at evening’s end, to return to her hutch on the patio. I’d swear after each episode that the apartment was going to become off limits to the lady, but after a day or two, I couldn’t resist the joy of watching her hop about, and we’d go through the routine yet again. Sweet memories, and fortunately just memories now, as my family is reunited here in Newport Beach.
Ms. Morgan still has her hutch, and there’s no way my wife Karen will let her roam about the house. But with the house comes a backyard, to which I’ve added a six foot playground for Morgan, so she and I still get to pal about while I’m doing such silly things as re-reading Keynes for the nth time. Jonnie’s convinced that she’s no longer his pet, but mine! He just might be right.
Well and good, of course, except for the collateral damage of a collapse in final sales momentum, which exposed serious irrational exuberance in inventory accumulation, as shown in Figure 3. And producers are responding in light speed fashion, with purchasing managers using all that fancy-dancy new technology to put the manufacturing sector into serious recession, as shown in Figure 4.