Even though the Labor Department is known to massage its statistics, the numbers are so bad that its latest report registers an increase in the Producer Price Index of 1.2% in July and 9.8% in the last year. CNN carries the story. Even with a dip in oil prices over the last month, CNN says that this is the highest rate of increase in the past 27 years.
The Dow is sinking and should dip below 11,000 once again. It well may test new lows in the next couple of days.