New York Industry Activity Keeps Sinking on Sluggish Demand -- NY Fed
January 16 2024 - 8:02AM
Dow Jones News
By Joshua Kirby
Manufacturing activity again declined sharply in New York State
this month, according to a survey published Tuesday, as firms set
out a gloomier vision of their business conditions.
The Empire State Manufacturing Survey's general business index
fell a massive 29 points to minus 43.7 in January, reaching its
lowest point since May 2020, when the state was in the throes of
the coronavirus pandemic. The reading is much more negative than
the improvement to minus 4 expected by economists, according to a
poll by The Wall Street Journal. It marks a continued fall below
the zero level that denotes the threshold between likely expansion
and likely contraction in the state's manufacturing sector.
"This outsized drop suggests January was a difficult month for
New York manufacturers," said Richard Deitz, economic research
adviser at the New York Fed. While firms expect conditions to
improve over the next six months, optimism is subdued, the survey
showed.
The indexes gauging new orders and shipments both fell in
January, with inventories also edging lower, suggesting faltering
demand. Employment also fell, as did the number of hours
worked.
Write to Joshua Kirby at joshua.kirby@wsj.com;
@joshualeokirby
(END) Dow Jones Newswires
January 16, 2024 08:47 ET (13:47 GMT)
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