News & Insights

Manufacturing activity in New York state declined in January, with the headline general business activity index retreating 14.7 points to -12.6. In January, the new orders index decreased to -8.6, falling 12.9 points, while the shipments index fell 10.8 points to -1.7, reflecting modest declines in both orders and shipments. Unfilled orders improved slightly to -4.7 from -8.4, while inventories dropped from 10.5 to 5.8. Delivery times lengthened, rising 10.9 points to 3.5, while supply availability was unchanged, moving down to 0.0.

Employment increased slightly in January, with the index for the number of employees rising from -6.6 to 1.2, suggesting relatively steady employment levels. The average employee workweek fell from -2.3 to -15.1, signaling a significant decline in hours worked. Both input and selling price increases picked up, as reflected in the prices paid index rising 8.0 points to 29.1 and the prices received index increasing 5.1 points to 9.3.

Manufacturers feel more optimistic about the months ahead. The index for future business activity increased 9.8 points to 36.7, with more than 53% of respondents expecting conditions to improve over the next six months. Employment is forecasted to improve, but slightly less than previously anticipated, slipping 0.3 points from last month, while the average employee workweek is expected to increase, jumping 10.3 points. Meanwhile, inventories are forecasted to drop, and new orders are anticipated to increase, rising 5.9 points to 34.2 in January.