Economy
Chicago Business Barometer Moves Out of Contraction
Written by Sandy Williams
September 3, 2019
The Chicago Business Barometer rose six points in August after two months of contraction. The Index posted a 50.4 last month, compared to 44.4 in July.
MNI Indicators still sees an overall softening in business conditions despite the gains in August. The three-month moving average, a better indicator of conditions, fell to 48.2
Supplier deliveries and Inventories declined in August. Deliveries dropped sharply from 55.6 in July to 50.3 in August. Inventories dropped 11.2 percent to 47.9, indicating destocking by firms.
Production was still muted despite gaining 6.7 points. New orders pulled out of contraction and back into expansion territory.
Factory gate prices rose 3.7 points to a five-month high of 59.8, but were still far from reaching the 12-month high of 79.8.
Sixty-three percent of firms surveyed expect no change in business investment plans for the rest of the year, 27 percent are planning increases and 10 percent reductions. Global uncertainty was cited as the main current concern.
Sandy Williams
Read more from Sandy WilliamsLatest in Economy
House committee blocks GOP budget proposal
The budget proposal has big implications for steel and manufacturing.
Manufacturing in New York state contracts again in May
Manufacturing activity in New York state declined for the third consecutive month, according to the May Empire State Manufacturing Survey from the Federal Reserve Bank of New York. Responding firms continue to forecast weaker business conditions in the coming months.
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.