Research >> Economics
New York Purchasing Managers Business Activity Cools Down
New York City business activity expanded at the slowest pace in almost two years, according to the survey taken by the Institute for Supply Management New York (ISM-NY). The Current Business Conditions index cooled down to 56.9 in Apr il from 66.4 in March.
Future optimism reached an eight-month low. The Six-Month Outlook index came in at 65.6 in April from 71.4 in March.
Purchase volume advanced at a slower pace. The Quantity of Purchases index decreased to 56.7 in April from 61.8 in March.
The jobs picture turned abruptly, contracting for the first time in a year and a half. However, it is unclear if this is the new trend (see Question of the Month below). The Employment index fell to 48.8 in April from 62.0 in March.
Price/cost pressures were more widespread. The Prices Paid index rose to 66.3 in April from 63.0 in March and has run above the 60 mark for three straight months for the first time in three years.
Skilled labor shortages remained the most prevalent business impediment, but were matched by a sharp pick up in working capital shortages. Supply disruptions anecdotally related to the Japan disaster ebbed, as raw material shortages and weather/natural disasters came off seven-month and twelve-month highs, respectively.
Posted: April 29, 2011 Friday 08:30 AM