News & Insights

Manufacturing activity in New York state increased but at a slightly slower pace in February, with the headline business conditions index edging down 0.6 points to 7.1. The new orders index similarly ticked down but remained positive, decreasing 0.8 points to 5.8, while the shipments index plummeted 17.3 points to -1.0. Unfilled orders turned positive, surging 17.3 points to 9.1, while inventories rose 9.2 points to 7.1, indicating business inventories are growing again. Delivery times lengthened, and supply availability improved but remained negative, increasing 3.1 points to -1.0.

Employment increased in February, with the index for the number of employees rising 13.0 points to 4.0. At the same time, the average employee workweek index grew to 2.1 from -5.4, signaling an increase in hours worked from January. The prices paid index moved up 6.3 points to 49.1, while the prices received index rose 7.8 points to 22.2, reflecting a faster pace of increase in both prices received and prices paid.

In February, firms’ optimism regarding the future remained high, with the future business activity index advancing 4.4 points to 34.7. In the next six months, new orders are expected to rise and at a slightly faster pace compared to the prior month at 34.9. The future employment index jumped 11.2 points to 26.1, suggesting an anticipated faster pace of employment growth over the next six months. Meanwhile, input and selling price expectations are forecasted to increase at a faster pace, increasing from 52.6 to 57.6 and from 36.5 to 40.3, respectively. Furthermore, capital spending plans strengthened from January, up from 10.3 to 18.2.