Surveys gauging growth or contraction in Midwest manufacturing. (REUTERS)
The MNI Chicago Business Barometer showed economic activity in the Midwest increased to 58.3 in April from 57.7 in March, the highest level since January 2015. The reading easily beat the median Econoday consensus forecast of 56.55, as optimism among firms about business conditions rose for the third month in a row.
“The April Chicago report showcased another impressive month, with firms reporting solid growth. Rising demand and firm production led to a pick-up in hiring by firms,” said Shaily Mittal, senior economist at MNI Indicators. “Although the employment indicator has been bumpy, in and out of contraction, if the current month’s rise is sustained, it could provide a boost to the labor market.”
Three of the five Barometer components led April’s increase, with Production and Order Backlogs receding.
