Economy
Chicago Business Barometer Surges to Largest Monthly Gain in 10 Years
Written by Sandy Williams
October 31, 2013
The Chicago Business Barometer surged 10.2 points to 65.9 in October—it’s highest reading since March 2011 and its biggest monthly gain in 30 years. Double digit growth was seen in New Orders, Production and Order Backlogs.
The October government shutdown seemed to have little effect on Chicago area businesses. New orders shot up to their highest level in nine years. Production was at its highest level since February 2011.
Chicago businesses reported brisk inventory restocking and higher customer demand. Launch of new product lines and distribution channels added to the surge in activity.
Order backlogs shed its contractionary phase to reach its highest level since early 2011. The increase in business activity pulled employment up to its highest level since June 2013.
“While it is a little surprising to see such a large rise in activity, the consistent increase in the Barometer over the past four months suggests the recovery is gaining traction,” said Philip Uglow, Chief Economist at MNI indicators.
The Chicago Business Barometer is a monthly indicator of business activity of both manufacturing and nonmanufacturing firms in the Chicago area. It is published by MNI Indicators in partnership with the Institute of Supply of Supply Management (ISM)-Chicago.
{amchart id=”111″ Chicago Business Barometer Index}
Sandy Williams
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