Chicago Business Barometer Falls to Lowest Level Since 1982, MNI Indicators Says
May 29 2020 - 10:39AM
Dow Jones News
By Allison Prang
The Chicago Business Barometer fell this month and hit its
lowest point in nearly 40 years, MNI Indicators said.
The monthly reading was 32.3. Economists polled by The Wall
Street Journal were expecting it to be 40.
MNI Indicators said the reading was the barometer's lowest since
March 1982 and that the supplier deliveries and order backlogs
indicators -- two of the main five that go into the barometer
reading -- fell the most. The latter fell to its lowest level since
March 2009, MNI Indicators said.
The employment indicator rose, but new orders fell to its lowest
point since July 1980, MNI Indicators reported.
The five sub indicators that go into producing the barometer are
employment, order backlogs, new orders, production and supplier
deliveries.
About 27% of businesses asked said they expected Covid-19 to
affect business plans for between half a year to nine months, MNI
Indicators said. About 23% expected it to affect plans for between
nine months to one year and about 19% said they expected it to
affect plans for more than that.
Meanwhile, around 10% expected the effects to last for under
three months and around 21% expected the effects to last between
three to six months, MNI Indicators said.
Write to Allison Prang at allison.prang@wsj.com
(END) Dow Jones Newswires
May 29, 2020 10:24 ET (14:24 GMT)
Copyright (c) 2020 Dow Jones & Company, Inc.