It's another rough ride with the Chicago PMI, accelerating sharply to 55.6 in January after hitting the brakes in December at 42.9. New orders are at their best level since January last year while backlogs, though still contracting, posted substantial improvement. Production is also at its highest in a year. Negatives include another contraction for employment, which however still improved in January, and another contraction for prices paid that reflects commodity price weakness. A plus in the report is a decline in inventories to a 1-year low, lowering inventories points to future restocking in what is a plus for the production and employment outlook. This report, which covers the whole of the Chicago-area economy, offers an upbeat early assessment of economic activity this month.
Hanover Advisors Inc. issued this content on 29 January 2016 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 29 January 2016 19:51:21 UTC
Original Document: http://www.hanoveradvisorsinc.com/chicago-pmi-4
