US DATA
The Chicago Business BarometerTM, produced with MNI declined 2.6 points to 41.4 in March. This is the fourth consecutive monthly decrease, pushing the index further into contractionary territory, and marking the lowest print since May 2023. We also note that this print is 4 points below the 2023 average.
- The barometer’s move lower was driven by a reduction in Order Backlogs, New Orders, Production, and Supplier Deliveries, whilst, a gain in Employment limited the downside move.
- In particular, Order Backlogs contracted 11.4 points to move to similar levels to August 2023 and the third lowest level of the past 15 years. More than 50% of those surveyed saw smaller backlogs.
- New Orders lessened by 3.4 points to the lowest since September 2023.
- Supplier Deliveries decreased 1.6 points to the lowest level since October 2023.
- Production moderated by 0.5 points to 42.4 points, the fourth consecutive month on month fall resulting in the lowest level since May 2023.
- Employment rebounded from last month’s losses, increasing 6.4 points to 47.1 points. However, this is only 0.4 above January’s level. The rise was driven by the greatest proportion of respondents reporting higher employment and the lowest proportion reporting lower employment since November 2023.
- Prices Paid lowered by 2.1 points to 62.6, the lowest since November 2023, due to organizations being proactive on costs.
- Inventories slipped 3.5 points to the lowest level in two months, as planned restock has been delayed due to raw material availability.
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