New York Fed Reports Improving Sentiment In Manufacturing Sector
(Kitco News)- Sentimentin the New York State manufacturing sector is improving according to the latestdata from the New York Federal Reserve.
Tuesday, thegeneral business conditions index in the Empire State manufacturing survey pushedhigher, to a reading of 20.1 in May, up from April's reading of 15.8.
"Looking ahead, firms were somewhat more optimistic about the six-month outlook than they were in April, though less so than earlier this year," the report said.
The data wasbetter than expected as consensus forecasts were calling a modest decline to15.1.
Looking at the components of the report, the new ordersindex saw a strong increase, rising to 16, from April's reading of 9; at thesame time, the shipments index rose to 19.1 from the previous level of 17.5.
The sector's labor market continues to grow with the numberof employees index rising to 8.7, up from April's reading of 6.0.
Positive for the gold market, inflation within the sectorsaw a strong rise to 54, up from April's reading of 47.4. Commodity analystshave said that gold should do well in a rising inflationary environment as theFederal Reserve is expected to raise interest rates at a gradual pace.
By Neils ChristensenFor Kitco News
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