Economy
Empire State Manufacturing Slows in August
Written by Sandy Williams
August 17, 2020
Manufacturing activity in the New York region slowed in August, according to the Federal Reserve Bank of New York. The Empire State Manufacturing Index slid 14 points to 3.7 in August, well below economists’ estimates in the range of 14-17. A reading above zero indicates activity is expanding.
“After increasing significantly in July for the first time since the pandemic began, manufacturing activity in New York State grew only slightly in August,” said the Federal Reserve Bank.
The new orders index plunged 16 points to 1.7 indicating only a moderate increase in orders. The shipments index followed suit with a 12-point plummet to 6.7.
Survey participants indicated that delivery times remained steady, but unfilled orders and inventories declined. Selling prices increased for the first time since March, while input prices remained little changed.
The employment index inched up 2.4 points, but the average workweek index fell 6.8 points, indicating fewer hours worked.
Looking forward, most firms remained optimistic that business conditions would improve during the next six months, but were less confident than they were in June and July. The future indexes for general business conditions and new orders both dropped 4-plus points in August. The future shipments index dropped 8.6 points.
Sandy Williams
Read more from Sandy WilliamsLatest in Economy
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
Construction adds 13,000 jobs in March
The construction sector added 13,000 jobs, seasonally adjusted, in March, but tariffs could undermine the industry.