The relationship between soft and hard data: How the pandemic disrupted the usual pattern

The podcast discusses the disruption in the relationship between soft and hard data caused by the pandemic. Soft data, such as sentiment and surveys, usually leads the actual hard data, such as retail spending and industrial production. However, with the sudden shutdown of the economy, soft and hard data became synchronized and hit rock bottom. As the economy starts to recover, the relationship between soft and hard data is gradually returning to normal.