The Empire State Manufacturing Survey indicates that manufacturing activity in New York stabilized in April after deteriorating in February and March. The general business conditions index rose sharply, to 0.6. The new orders and shipments indexes also moved into positive territory, the latter climbing 23 points. The prices paid index advanced to its highest level since late 2005, and the prices received index rose modestly. Employment indexes hovered near zero. Future indexes were generally weaker than in March, and the capital expenditures index, while positive, fell to its lowest level since 2003.
A series of supplementary questions in the April survey elicited manufacturers’ observations on employment trends in their firms (see Supplemental Report tab). Asked about anticipated changes in the size of their workforces over the next twelve months, more manufacturers predicted increases (45 percent) than declines (29 percent); on average, respondents expected a slight increase. When asked about the causes of past and future employee separations, respondents indicated that quits and retirements were far more common than layoffs.
