15.12.202513:37:29UTC+00NY Manufacturing Activity Unexpectedly Shrinks in December

In December, the NY Empire State Manufacturing Index fell to -3.9, down from a one-year peak of 18.7 in November, and far below the forecasted figure of 10. This shift indicates a return to contraction following two months of growth. While new orders remained stable, shipments experienced a modest decline, decreasing by 23 points to -5.7. The inventories index recorded a slight rise at 4.0, indicating a minor increase in stock levels. Meanwhile, delivery times improved, unfilled orders reduced, yet supply availability deteriorated. Employment saw a modest upturn, with a marginal extension of the average workweek. Although the rate of increase for both input and selling prices moderated, they stayed elevated, with the prices paid index falling by 11 points to 37.6, marking the lowest level since January. The prices received index also dropped 4 points to 19.8. Additionally, plans for capital spending showed a slight uptick. The index for future business conditions climbed 17 points to 35.7, close to a one-year high, indicating that firms are increasingly optimistic about better conditions over the next six months.