Richmond Fed survey bounces

It seems that all sorts of things are bouncing these days. Here's a chart of the Richmond Fed's survey of activity in the manufacturing sector in their district. While still in negative territory, it is a whole lot less negative than it was at the end of last year. Once, again, these bounces are telling us that the economy is not going down a black hole; we are not spiralling downward into a depression. Activity is stabilizing, and the economy is likely in a bottoming process.