Empire State Manufacturing Index Jumps To 9-month High

Forexpros
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Forexpros – The New York Federal Reserve’s index of manufacturing conditions improved more-than-expected in January, climbing to the highest level since April, official data showed on Tuesday.

In a report, the Federal Reserve Bank of New York said that its general business conditions index improved by 4.0 points to 13.5 in January from 9.5 in December.

Analysts had expected the index to improve by 1.0 point to 10.5 in January.

On the index, a reading above 0.0 indicates improving conditions, below indicates worsening conditions.

The new orders index rose eight points to 13.7 and the shipments index inched up to 21.7.

The prices paid index was positive and slightly higher than it was last month while the prices received index jumped twenty points to 23.1, indicating a significant pickup in selling prices.

Employment indexes were positive and higher, pointing to higher employment levels and a longer average workweek.

Future indexes conveyed a high degree of optimism about the six-month outlook, with the future general business conditions index rising nine points to 54.9, its highest level since January 2011.

Following the release of the data, the U.S. dollar remained lower against the euro, with EUR/USD rising 0.89% to trade at 1.2780.

Meanwhile, stock index futures added to strong gains following the data. The Dow Jones Industrial Average futures pointed to a rise of 1.05%, S&P 500 futures climbed 1.2%, while the Nasdaq 100 futures indicated a gain of 1.15%.

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