The Chicago Purchasing Managers' Business Barometer slumped to 51.6 in June from 58.7 in May, the National Association of Purchasing Management-Chicago said Friday.
The data is compiled on a seasonally adjusted basis. An index reading below 50 signals a slowing economy, while a level above 50 suggests expansion.
Economists polled by Thomson Reuters predicted a 56.0 reading for the index.
The production index slipped to 57.0 from 62.7, the new orders index decreased to 54.6 from 58.1, the order backlogs fell to 38.4 from 53.1 in the prior survey and inventories gained to 41.4 from 40.4. The employment index gained to 57.8 from 56.9; and the supplier deliveries index was at 46.9, down from 52.3 last month. The prices paid index rose to 59.9 from 55.3.
