Research >> Economics
New York Purchasing Managers Business Activity fell to 42.9 in August
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In August, New York City purchasing managers reported a similar trend in Current Business Conditions, Employment, and Current Revenues - a drop from July, but the second highest levels marked since February of 2020, according to the survey taken by the Institute for Supply Management New York.
New York Metro
Current Business Conditions gave up most of the improvement seen in July and dropped back below the breakeven point, falling 10.6 points to 42.9 in August. As noted, this is the second highest finding for this Index since February (51.9) and also the largest change in this month's report. The Six Month Outlook rose 12.1 points from 49.6 in July to reach 61.7 in August. Although this is an improvement over last month, it falls short of the 67.1 reported in June. The Outlook has vacillated between the 40s and the 60s for the last four months. The six month outlook has been a reliable short run guide for current business conditions over time.
Company Specific
Employment, a seasonally adjusted index, moved back below the breakeven point to 38.8 in August, down 11.5 points from 50.3 in July. This is the highest level reported since February (49.3) Quantity of Purchases rose 8 points to the breakeven point of 50.0 in August, up from 42.0 in July. This is a 12-month high; the index was at precisely the same level in August of 2019. Top line and forward revenue guidance moved in opposite directions, and yet both remained below the breakeven point, as they have since February. Current Revenues fell 3.8 points to 40.0 after three months of gains. Despite the fall, this is still the second highest Current Revenues finding since February (58.3). Expected Revenues rose 3.7 points to 43.3 in August, reaching a 6-month high and increasing for the second consecutive month. Prices Paid rose to a 7-month high of 67.9, up 3.9 from 64.0 in July.
Posted: September 2, 2020 Wednesday 08:30 AM