Economy
Chicago Business Barometer Leaps 7 Points in November
Written by Sandy Williams
December 1, 2016
The November Chicago Business Barometer, or Chicago PMI as it is also known, leapt 7 points from October to register 57.6. The reading was the highest since January 2015 with four of the five components of the index showing improvement. On a three month moving average the index increased two points to 54.1.
New orders increased by 10.7 points along with production which rebounded from its fall in October. Order backlogs moved out of its three month contraction and supplier deliveries increased. Despite the gains in orders and output, employment levels fell back into contraction.
Inventories rose at the fastest pace since October 2015 and expanded in November. The prices paid index was above the 12-month average of 52.2 but on a month over month basis fell to 56.8.
“The November reading for the Business Barometer marked the sixth month of expansionary business activity in the US. Strength in orders, a recovery in oil prices and the stronger dollar have all impacted businesses with varying degrees,” said Shaily Mittal, senior economist at MNI Indicators. “Respondents to our survey also remain optimistic about business activity in 2017 although the new government’s policies and the Fed’s approach towards monetary tightening would impact the course of business activity over the next year.”
Below is a graph showing the history of the Chicago Business Barometer. You will need to view the graph on our website to use its interactive features, you can do so by clicking here. If you need assistance logging into or navigating the website, please contact our office at 800-432-3475 or info@SteelMarketUpdate.com.
Sandy Williams
Read more from Sandy WilliamsLatest in Economy
Chicago Business Barometer falls back in April, remains in contraction
The Chicago Business Barometer declined in April, reversing March’s gains, according to Market News International (MNI) and the Institute for Supply Management (ISM).
Fewer manufacturers optimistic about the economy
PMA’s April report shows that only 16% of surveyed manufacturers anticipate an increase in economic activity in the next three months (down from 23% in March)
Architecture billings continue to slide in March
Architecture firms said billings continued to decline in March, according to the latest Architecture Billings Index (ABI) released by the American Institute of Architects (AIA) and Deltek.
Beige Book shows concerns about trade policy
Manufacturing was mixed, but two-thirds of districts said activity was little changed or had declined.
New York state manufacturing index drops again in April
Firms were pessimistic, with the future general business conditions index falling to its second lowest reading in the more than 20-year history of the survey