Headline: Negative 7.79Expectations: 12.0
Analysis: Last month, the Empire State Manufacturing Survey fell to 11.88, a huge miss.
Now we have another huge miss, indicating that manufacturing in the New York region didn’t just hit a snag last month, but may in fact be entering a slowdown.
Shipments and new orders both came in negative. The new orders fall of 33.77 is the largest decline in this index’s history, according to Bespoke Investment Group. The index has been in existance since 2001.
From the New York Fed:
The Empire State Manufacturing Survey indicates that conditions for New York manufacturers deteriorated in June. The general business conditions index slipped below zero for the first time since November of 2010, falling 20 points to -7.8. The new orders and shipments indexes also posted steep declines and fell below zero. The index for number of employees dropped fifteen points to 10.2. The indexes for both prices paid and prices received were positive but lower than last month, suggesting that increases in input prices and selling prices had slowed. Although future indexes were generally above zero, they were well below last month’s levels, indicating that the level of optimism about the six-month outlook had deteriorated significantly.
Note that dive: