Inquiring minds are taking a peek at the Empire State Manufacturing Survey, a publication of the Federal Reserve Bank of New York.
The December 2012 Empire State Manufacturing Survey indicates that conditions for New York manufacturers continued to decline at a modest pace.
Points of Interest
- General business conditions index was negative for a fifth consecutive month, falling 2.9 points to -8.1
- New orders dropped 6.8 point to -3.7
- Shipments dropped 5.8 points to +8.8
- Prices paid rose 1.5 points to +16.1
- Prices received fell 4.5 points to +1.1
- Number of employees remains in contraction although the index rose 4.9 points to -9.7
- Average work week fell 2.9 points to -10.8
This was a weak report with business conditions contracting for 5 months and new orders also dropping.
Profit Squeeze Underway
Note the margin squeeze on manufacturers. Prices paid are rising while prices received are on the verge of contraction.
Mike “Mish” Shedlock