New York Businesses Love Trump, But US Manufacturing Contracted In October

The Empire State Fed Manufacturing Survey of general business conditions exploded higher in November. The headline general business conditions index shot up forty-three points to 31.2, its highest reading in nearly three years. New orders and shipments rose substantially

Source: Bloomberg

That is the second largest MoM jump in the survey’s sentiment in history (beaten only by the massive stimmies in June 2020 of the COVID lockdowns)…

Source: Bloomberg

“Manufacturing activity grew strongly in New York State in November, with firms reporting sharp increases in new orders and shipments. Price increases remained steady and modest while firms remained optimistic about future conditions.”

~Richard Deitz, Economic Research Advisor at the New York Fed

But, while New York businesses seem to love Trump (we don’t know when the survey was taken but still, it’s a funny move to ascribe to a business-unfriendly Democrat win?), US Industrial Production declined 0.3% MoM in October (-0.4% exp) and was revised lower for September

Source: Bloomberg

…and Manufacturing contracted for the second straight month (4th of the last 5)…

Source: Bloomberg

Bear in mind that September’s Industrial Production was revised lower – the ninth downward monthly revision in the last ten months…

Source: Bloomberg

Finally, capacity utilization tumbled to just 77.1% – its lowest since April 2021…

Source: Bloomberg

A bone for the doves!