New York State Manufacturing Activity Sees Growth for the First Time in Almost a Year

For the first time in almost a year, New York State manufacturing activity has grown as orders and shipments strengthened. In turn, companies are optimistic that business will continue to grow in the coming months.

Activity Looks Up

In response to the Empire State Manufacturing Survey, general business conditions rose 16 points to 11.5. Shipments grew as new orders climbed 17 points to a multi-year high of 9.4. This provided shipment trends of an 18-point rise to 17.9, marking the highest level in nearly a year and a half.

The index reported that employment numbers came in at -5.7, showing signs of modest employment contraction. Workweek indexes, however, pointed to a recovered 2.9, signaling an increase in hours worked. Additionally, Inventories have leveled off, while supply availability and delivery times have also remained steady.

Growing Optimism

Capital spending fell 11 points to -2.1, falling below zero for the first time in the last four years. But as business has climbed conditionally, optimism is an attributed growing trend.

Firms have grown optimistic that conditions will continue to improve in the coming months. Although price indexes did not see much change, the index for future business moved up eight points to 30.6. Around 45% of respondents expect conditions to improve continuously over the next six months.

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