Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
Key Points – January 2023 Report
The Chicago Business Barometer™, produced with MNI, moderated by -0.8 points to 44.3 in January; the fifth consecutive month below 50. This follows a December rebound to signal a softer downturn.
- Production, Supplier Deliveries and Prices Paid increased over the month in January, with Production recording the strongest growth (albeit remaining below 50). All other subindexes weakened, led by a marked drop in Order Backlogs.
- Production recorded an 8.5-point boost in January to 48.6, remaining marginally contractive. Responses continued to flag a slowing economy and prevailing scepticism filtering into weak production levels, alongside harsh winter conditions.
- New Orders softened by -2.7 points to 40.6, after a 12.3 - point jump in December. Muted demand conditions contributed to the slow start to the year, with over 42% of firms recording fewer orders.
- Order Backlogs descended by -19.2 points in January to a June 2020 low of 35.5, this more than reversed the 17.5 gain in December.
- Employment ticked down by -0.6 points to a four-month low of 42.0 in January as one-quarter of firms reported lower employment levels.
- Supplier Deliveries rose 1.4 points to 54.9 as domestic lead times increased marginally. Certain chemical material shortages remain acute.
- Inventories declined by 4.6 points to 44.9 as firms continued to work down excess inventory built up due to previously severe supply constraints.
- Prices Paid increased in January, accelerating by 7.4 points to 72.5, breaking a five-month streak of loosening prices. Some input prices including steel rose, albeit at a softer pace.
SPECIAL QUESTION
This month’s special question asked “With employment costs increasing and growth outlooks weakening, are you considering slowing hiring in upcoming months?” An equal number of respondents (36.1% each) responded “Yes” and “No”. 11.1% were expecting to somewhat slow hiring, whilst 16.7% remained unsure.
Click below for the full press release:
MNI_Chicago_Press_Release_2023-01.pdf
For full database history and full report on the Chicago Business Barometer™, please contact:sales@marketnews.com
Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.