Washington (awp/afp) – Manufacturing activity in the New York region recorded a slight decline in January, for the first time since June 2020, according to the monthly indicator “Empire State” published Monday by the regional branch of the Federal Reserve (Fed).
The index measuring general activity fell 33 points in January compared to December, to fall to -0.7 points. This is the first time that activity has gone back into the red, after 18 months of growth.
“Business activity has leveled off sharply in New York State, according to survey respondents,” the Fed said in its statement, adding that this suggests “growth has stalled after a period of significant expansion”.
Indeed, when the index is greater than zero, this means that the activity is growing; but as soon as the index falls below this bar, it contracts compared to the previous month.
In detail, “new orders fell slightly, while shipments remained stable. Delivery times continued to lengthen and unfilled orders increased,” the Fed said.
The situation is improving a little on the employment front.
As for prices, the indices measuring them have fallen, which means that their rise is moderating, but they “remained high”, it is indicated.
Measured in a highly industrialized region, the New York State manufacturing activity index is considered a good barometer of the evolution of the American economy.
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