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- Chicago business activity’s expansion slows more than anticipated in June
Chicago business activity’s expansion slows more than anticipated in June
MNI
Indicators’ report revealed on Wednesday that business activity in Chicago continued
to expand in June, albeit at a slower pace than in May.
The
MNI Chicago Business Barometer, also known as Chicago purchasing manager's
index (PMI) came in at 66.1 in June, down from an unrevised 75.2 in May. This was the lowest reading since February.
Economists
had forecast the index to drop to 70.0.
A
reading above 50 indicates improving conditions, while a reading below this
level shows worsening of the situation.
According
to the report, Order Backlogs (-14.1 points) demonstrated the largest drop,
while Supplier Deliveries (+4.2 points to the highest level since March 1974) posted
the only increase. Elsewhere, New Orders languished markedly, declining to a
three-month low in June and Employment slipped to the lowest level since
January as firms saw difficulties in finding new staff. On the price front,
Prices paid at the factory gate jumped to the highest level since December
1979.
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