Last Update: 31-Dec-14 10:11 ET
- After four consecutive months above 60, the Chicago PMI fell from 60.8 in November to 58.3 in December. The Briefing.com Consensus expected the index to fall to 60.0.
- A reading above 60.0 is not sustainable in the long term. The drop to 58.3 does not signal a major shift in manufacturing conditions in the Chicago region. The Production Index dipped to 61.6 in December from 66.7 in November. New orders growth also slowed as the related index fell to 59.1 in December from 61.9 in November. Order backlogs declined to 48.8 in December from 55.5 in November. That was the first contraction in unfilled orders since July.
- The Employment Index increased to 56.9 in December from 54.4 in November.
- The Chicago PMI has little overall economic value, and is only watched by the financial markets because it is usually released one day in advance of the similar national ISM manufacturing survey. A significant move in this regional survey will therefore sometimes be seen as having predictive value for the ISM index.