The Institute for Supply Management-Chicago Business Barometer showed the pace of business activity in the U.S. Midwest slowed in December, after the New York Federal Reserve showed a contraction for the first time in years.
The business activity index tanked to 58.3, which is its lowest reading since July. The reading comes after a November measurement of 60.8, but another closely watched gauge showing serious concern in the region.
New York manufacturing business activity shrank for the first time in nearly two years, according to the New York Fed’s Empire State Manufacturing Survey released last week. The New York Federal Reserve’s Empire State’s index of business conditions plummeted to -3.58 in December from 10.16 in November.
A Reuters poll of economists expected a reading of 60.1.
A reading above 50 indicates expansion in the regional economy.