Input Stories

Manufacturing activity in New York state continued to decline in April. While the headline general business activity index rose from the previous month, it remained negative at -8.1. New orders and shipments also continued to contract but at a slower rate than the previous month, with new orders increasing from -14.9 to -8.8 and shipments rising from -8.5 to -2.9. Unfilled orders grew from -2.0 to 4.1, while inventories fell from 13.3 to 7.4. Delivery times ticked down from 1.0 to 0.0, while supply availability dropped from -1.0 to -5.7.

The index for the number of employees, still in negative territory, edged up from -4.1 to -2.6, but the average employee workweek dropped from -2.5 to -9.1. Meanwhile, both input and selling price increases picked up, reflected in the prices paid index rising 5.9 points to 50.8, the fastest pace of increase in more than two years, and the prices received index advanced 6.3 points to 28.7.

Firms are less optimistic than they have been in previous months. The index for future business activity decreased 20.1 points to -7.4, falling a cumulative 44 points in the past three months. Employment and the average employee workweek are forecasted to weaken, continuing a trend from the previous month. New orders are anticipated to decrease, falling from 15.5 to -6.6, and capital spending plans are flat. Input prices are expected to remain high. Meanwhile, supply availability is forecasted to continue to contract in the next six months.