Dr. Peter Navarro

Well, the ISM is generally what we call a leading indicator.

It's been lagging behind others.

And the most important part of the piece for the financial news networks and all of this is to point out that every other manufacturing indicator has been flashing green for months.

And they've been ignoring that because they just don't want to see it.

So, for example, the S&P manufacturing PMI repeatedly showing expansion.

The Federal Reserve industrial production rising.

Manufacturing productivity surging at 3.7% annually.

Durable goods are just knocking out of the park.

They contributed roughly half a percentage point, about 12% of overall growth in the gross domestic product in the third quarter alone.

And why that's important.

Steve, if durable goods manufacturing is robust, that's the kind of manufacturing that's going to make the machines that are going to go into the factories that are going to make stuff and create the manufacturing jobs.

So what people don't understand is like the three stages of the whole process.

First, it's tariffs.

Second of all, that protects domestic industry, so they make investments.

Third, we get just a bunch of construction jobs.

And finally, we get the factories and the permanent factory jobs.

And today's jobs report was a blowout number, but it also reinforced exactly the themes that I'm talking about here, Steve, because what we've got in that report, very interesting, it'll be up, my analysis will be up on Real Clear Markets later this morning.

It shows that we're not hiring any government companies.

workers anymore.

That net down, big time, all of the job growth is in the private sector.