Econintersect: The January 2011 Chicago Purchasing Managers index (Chicago PMI) came in a little weaker than the past months but continued expansion for the 28th month. This survey is of interest to those who watch Purchasing Manager’s data – as this survey is used as a expectations yardstick for the national ISM manufacturing release next week.
BUSINESS ACTIVITY:
- EMPLOYMENT lowest since August 2011;
- ORDER BACKLOGS now in contraction – worst levels since November 2008;
- SUPPLIER DELIVERIES highest since June 2011.
BUYING POLICY:
- PRODUCTION MATERIAL lead time at a multi-decade high
This month’s seasonally adjusted level of 60.2 (December level was 62.5) is in territory normally associated with economic expansion. The market was disappointed with this result as it was expecting 61.0 to 62.8.
This is a survey, and not hard data.
source: Chicago PMI
