NEW YORK – New York City business activity contracted in May as the current business conditions index fell to a six-month low of 49.9 in May from 61.2 in April, the Institute for Supply Management-New York’s Report on Business index, released Monday, indicated.
A reading below 50.0 indicates contraction.
The report’s six-month outlook index receded to 60.2 from 63.1. The NY-BCI dipped to 557.3 from 557.4.
The prices paid composite index fell to 57.8 this month from 61.8 last month, the quantity of purchases composite index slid to 53.3 from 54.1, and the supplier delivery time diffusion index dropped to 48.3 from 54.1. Employment declined to 48.4 from 53.8.
Businesses generally reported no impediments, although respondents saying, “skilled labor shortage” surged to 21% from 13% in the prior survey. “Unskilled labor shortages” also rose to 9% from 5%.
Most respondents said their organization’s profit outlook was growing slower.