New York Manufacturing Snaps Back After Plunging A Month Earlier
A measure of New York state manufacturing snapped back after an August plunge, signaling steadying factory activity.
(Bloomberg) -- A measure of New York state manufacturing snapped back after an August plunge on firmer orders and shipments, signaling steadying factory activity as a gauge of prices paid tumbled.
The Federal Reserve Bank of New York’s September general business conditions index jumped nearly 30 points to minus 1.5, after plunging more than 42 points a month earlier in the second-worst decline on record, data showed Thursday. A reading below zero indicates contraction, and the measure has been exceptionally volatile over the last several months.
The Fed bank’s index of orders increased to 3.7 from minus 29.6. The gauge of shipments rose by a record 43.7 points to 19.6. A measure of factory employment pointed to a slight pickup in hiring.
Meantime, the prices paid index fell for a third-straight month, to 39.6, pointing to a significant and ongoing deceleration in input inflation. A gauge of prices received by state manufacturers dropped to the lowest level since February 2021, also indicating an easing of inflationary pressures.
Looking ahead, manufacturers in the state were only slightly more upbeat, with the six-month outlook index improving but still historically depressed.
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