Tag: business conditions

Report: Manufacturing on the rise across New York

empire-state-mfg-report-march-2021

Manufacturing in New York state grew at a steady pace in March, a monthly report from the Federal Reserve Bank of New York shows.

The headline general business conditions index climbed five points to 17.4, its highest level since last summer. New orders increased modestly, while shipments were up substantially. Delivery times continued to lengthen, according to the March Empire State Manufacturing Survey, and inventories were somewhat higher.

The index for number of employees was little changed at 9.4, indicating ongoing modest gains in employment, but the index for future employment rose to its highest level in more than 10 years, suggesting that firms widely expect to increase employment in the months ahead.

The prices paid index rose seven points to 64.4, reaching its highest level in a decade, pointing to sharp input price increases. The prices received index was flat from last month’s two-year high, pointing to ongoing selling price increases.

The index for future shipments increased to 46.5 in March. The index for future inventories rose to a multi-year high, and both the future prices paid and prices received indexes continued their upward trend. The index for future employment rose to its highest level in more than a decade, suggesting that firms widely expect to increase employment in the months ahead. The capital expenditures index came in at 26.8, while the technology spending index was 20.1.

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Report: Service sector business conditions decline in December

Activity in the New York, northern New Jersey and southwestern Connecticut region’s service sector declined at its fastest pace since June, a new survey from the Federal Reserve Bank of New York shows.

The Business Leaders Survey’s headline business activity index fell 11 points to -26.9 in December. It was the second consecutive month with an 11-point drop. Some 18 percent of respondents reported that business conditions had improved this month, while 44 percent said that conditions had worsened.

Source: New York Fed
Source: New York Fed

The monthly employment index fell eight points to -11.7, indicating that employment levels in the region have dropped. The wages index fell six points to 11.2, suggesting wages increased at a slower pace in December than in November.

The prices paid index was little changed at 33 this month, while the prices received index remained at zero. The capital spending index was -19.2, which suggests ongoing significant declines in capital spending.

Source: New York Fed
Source: New York Fed

The service sector still is not expecting much improvement, the report suggests. The index for future business activity edged up to 4.7 and the future business climate index was zero, indicating the firms expect little to no improvement in conditions over the next six months. Employment levels are expected to edge higher only slightly, though wages are expected to increase.

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