Economy

Chicago PMI Rises to 68.4, Fourth Highest Level in Past Decade
Written by Brett Linton
October 29, 2021
The Chicago Business Barometer increased to 68.4 in October, according to MNI Indicators, following two consecutive months of decline. This is the fourth highest PMI level recorded in the last 10 years, following the May, July, and April 2021 highs. The October PMI is up 3.7 points from the month prior. MNI reports that order backlogs recovered more than half from their sharp September decline, and supplier deliveries increased. Firms again reported worsening port congestion and ongoing issues with trucking, rail and air cargo logistics.
MNI reports new orders recovered 3.1 points from September’s six-month low. Some businesses said raw material shortages and a low supply of critical components (i.e. semiconductors) at suppliers wer impacting opportunities. Prices paid rose by 3.6 points in October to a 42-year high, with many companies reporting that prices continue to be an issue. Production was the single component to decline in October, reaching a 14-month low. October employment increased for the fourth consecutive month to a three-year high.
MNI asked firms what they anticipated will be the greatest challenge for their business in Q4; over half responded logistics. Firms were also asked “are you considering new hires in 2022?” to which 72% said they were looking to recruit; 11% said no.
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 into or navigating the website, please contact us at info@SteelMarketUpdate.com.
By Brett Linton, Brett@SteelMerketUpdate.com

Brett Linton
Read more from Brett LintonLatest in Economy

Architecture billings continue to slide in March
Architecture firms said billings continued to decline in March, according to the latest Architecture Billings Index (ABI) released by the American Institute of Architects (AIA) and Deltek.

Beige Book shows concerns about trade policy
Manufacturing was mixed, but two-thirds of districts said activity was little changed or had declined.

New York state manufacturing index drops again in April
Firms were pessimistic, with the future general business conditions index falling to its second lowest reading in the more than 20-year history of the survey

Construction adds 13,000 jobs in March
The construction sector added 13,000 jobs, seasonally adjusted, in March, but tariffs could undermine the industry.

Supply chains, end-users brace for impact from tariffs
Supply chains are working through what the tariffs mean for them