The Empire State Manufacturing Survey showed "business activity declined for New York manufacturers," the Federal Reserve Bank of New York reported Monday, as the general business conditions index plunged to negative 3.58 in December from positive 10.16 in November.
The negative reading was the first since May 2013.
Economists surveyed by Thomson Reuters had expected the index would be 12.40.
The new orders index decreased to negative 1.97 from positive 9.14, while the shipments index slumped to negative 0.22 from positive 11.83, and unfilled orders widened to negative 23.96 from negative 7.45, the Fed said.
The delivery time index declined to negative 14.58 from negative 9.57, while the inventories index slipped to negative 11.46 from zero in the prior survey. The prices paid index dipped to 10.42 from 10.64, while the prices received index rose to 6.25 from zero. The number of employees index slid to 8.33 from 8.51, while the average employee workweek index fell to negative 11.46 from negative 7.45, the Fed reported.
Looking six months into the future, the general business conditions index dropped to 38.58 from 47.61 last month. The new orders index slid to 38.42 from 46.99, while the shipments index fell to 37.92 from 44.68, and unfilled orders declined to 7.29 from 13.83, the Fed said. The delivery time index slipped to negative 2.08 from negative 1.06, while the inventories index increased to 9.38 from 4.26.
The prices paid index fell to 40.63 from 41.49, while the prices received index gained to 32.29 from 25.53. The number of employees index slumped to 20.83 from 24.47, while the average employee workweek index grew to 12.50 from 8.51, the Fed reported. The capital expenditures expectations index fell to 15.63 from 27.66. The technology spending index decreased to 17.71 from 19.15.
