Economy
Chicago Business Barometer Falls More Than Expected
Written by Sandy Williams
February 26, 2021
The Chicago Business Barometer slipped 4.3 points to 59.5 in February, though still above a reading of 50 that indicates expansion, following a 2.5-year high in January.
New orders plunged 11 points to their lowest level since August 2020. Production fell 9.3 points after two months of gains. Business activity at firms in the Chicago area was uneven, said MNI Indicators. Some companies enjoyed strong demand, while others reported a downturn from the pandemic.
Order backlogs were at the highest level since October 2017. Supplier deliveries continued to be challenged, and firms stated that logistical issues required increasing inventory stocks.
Raw material prices increased resulting in slightly higher factory gate prices.
Employment rose to a 16-month high, although the index remained in contraction for a seventh month.
A special question this month revealed that 87.2% of firms were undecided on whether to require employees to be vaccinated.
Below is a graph showing the history of the Chicago Business Barometer. You will need to view the graph on our website to use its interactive features; you can do so by clicking here. If you need assistance logging in to or navigating the website, please contact us at info@SteelMarketUpdate.com.
Sandy Williams
Read more from Sandy WilliamsLatest in Economy
January energy market update
In this Premium analysis we cover North American oil and natural gas prices, drilling rig activity, and crude oil stock levels. Trends in energy prices and active rig counts are leading demand indicators for oil country tubular goods (OCTG), line pipe and other steel products.
New York state manufacturing fell in January
“Price increases, while subdued, picked up,” Richard Deitz, Economic Research Advisor at the New York Fed. “Firms grew more optimistic that conditions would improve in the months ahead.”
Beige Book shows mixed economic trends, manufacturing challenges, tariff concerns
Economic activity across the US experienced slight to moderate growth at the end of 2024, while manufacturing activity showed a slight decline
Contractors concerned about tariffs, immigration in 2025: AGC survey
AGC said Trump should be “sparing” in imposing new tariffs and exclude products needed for domestic manufacturing, energy and infrastructure.
Dodge Momentum rebounds in December
Improved growth in data center planning and warehousing projects helped the Dodge Momentum Index (DMI) rebound in December.