Chicago PMI rises more than expected

Chicago bean reflection

Business activity in Chicago accelerated in September after a slowdown in August, according to the Institute of Supply Management and MNI Indicators.

They reported their purchasing manager’s index at 54.2, up from 51.5 in August, and more than analysts’ forecast for 52, according to Bloomberg.

A reading above 50 indicates that business activity is still in expansionary territory.

Business activity was boosted by a surge in production, while new orders and order backlogs were little changed.

Employment fell from a 16-month high in August, but it usually lags changes in orders and output, which both slipped last month, noted Lorena Castellanos, senior economist at MNI Indicators.

Responding to a survey question, 79% of respondents said the run-up to the elections is having a muted effect on business.

More to come …

NOW WATCH: STIGLITZ: It makes me crazy that everyone gets this wrong about the economy