The Empire State Manufacturing Index, which measures the level of general business conditions in the state of New York, plummeted a massive 16 points to minus 11.2 points in December, according to the report by the Federal Reserve Bank of New York.
The market expectation for the index was to come in at minus 1, while it was at 4.50 in November. The index stood at minus 31.30 in August – the lowest reading since May 2020 and the second-largest monthly decline on record.
Readings above zero indicate improving conditions, while levels below that show worsening conditions.
“Labor market indicators pointed to a moderate increase in employment, but a slightly shorter average workweek,” the New York Fed said.
“Looking ahead, firms expect some improvement in business conditions over the next six months, but optimism was very subdued,” it added.
Source: Anadolu Agency