Economic Buzz: New York Manufacturing Index Signals Growth In July

18 Jul 2022 , 09:24 AM

A report released by the Federal Reserve Bank of New York on Friday unexpectedly showed growth in regional manufacturing activity in the month of July. The New York Fed said its general business conditions index jumped to a positive 11.1 in July from a negative 1.2 in June, with a positive reading indicating growth in regional manufacturing activity. The unexpected surge by the headline index reflected a substantial acceleration in the pace of growth in shipments, with the shipments index spiking to 25.3 in July from 4.0 in June. The report also showed a modest acceleration in the pace of growth in new orders, as the new orders index inched up to 6.2 in July from 5.3 in June. Prices also increased at a slower rate compared to the previous month, as the prices paid index tumbled to 64.3 from 78.6 and the prices received index slumped to 31.3 from 43.6. Meanwhile, the report showed a modest slowdown in the pace of job growth, with the number of employees index edged down to 18.0 in July from 19.0 in June. The index for future business conditions plunged to a negative 6.2 in July from a positive 14.0 in June, indicating firms expect activity to decline over the next six months for only the fourth time in the surveys history.Powered by Commodity Insights