MNI Indicators: Chicago Business Barometer™ - January 2024 Chicago Report™ Tempered to 46.0

The Chicago Business Barometer™, produced with MNI, tempered by -1.2 points to 46.0 from December’s revised figure of 47.2. This is the second consecutive monthly fall, keeping the Chicago ReportTM in contractionary territory, although still +0.6 points above the 2023 average and above the levels seen in both September 2023 and October 2023.
All of the subcomponents included in the headline index rose compared to December’s revised levels, apart from Production which plunged -9.9 points into contractionary territory.
Production fell -9.9 points to 48.7 points, reentering contraction, and is the lowest since October 2023. This was driven by a larger proportion of respondents reporting lower production, but this may have been at least partly due to the severe weather.
Order Backlogs grew +2.8 points. With the exception of November 2023, this is the highest since April 2023.
Supplier Deliveries inched up +1.0 points. Again, with the exception of November 2023 this was the highest since April 2023 and the third consecutive month in expansionary territory
New Orders saw a small increase of +1.4 points, remaining in contractionary territory but above the 2023 average of 44.1.
Employment crept up +0.5 points to 46.7 points.
Inventories (which are not included in the calculation for the headline index) declined -3.1 points, the lowest since July 2023, with the highest proportion of respondents reporting lower inventories since October 2009.
Prices paid slipped for the first time since September 2023 by -4.1 points to 63.9 points.
The survey ran from January 2 to January 17.