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- Chicago business activity increases more than forecast in December
Chicago business activity increases more than forecast in December
MNI Indicators' report revealed on Monday that business activity in Chicago rose this month, hitting a four-month high.
The MNI Chicago Business Barometer, also known as Chicago purchasing manager's index (PMI) came in at 48.9 in December, up from an unrevised 46.3 in November. Economists had forecast the index to increase to 48.0.
A reading above 50 indicates improving conditions, while a reading below this level shows worsening of the situation.
According to the report, Supplier Delivery times jumped by 5.1 points to 55.4 and it is the only component among the main five remaining above the 50-mark. Production gained 4.9 points to 47.2, hitting the highest level since August. Order Backlogs picked up in November and increased further in December, leaving the index at a three-month high of 46.2. Inventories strengthened by 4.4 points to 47.4 in December, remaining in contraction for the fifth consecutive month. Meanwhile, New Orders recorded a marginal decline to 49.1 in from November's reading of 49.4. Employment cooled to 47.4 in December, showing the largest monthly decline.
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