Chicago Fed Midwest factory activity down in December

CHICAGO, Jan 27 (BestGrowthStock) – The Chicago Federal Reserve
Bank said on Wednesday its Midwest manufacturing index declined
in December as auto and resource sector output sank.

The index slipped 0.3 percent to a seasonally adjusted 84.1
from a upwardly revised 84.4 in November. The November reading
was originally reported at 84.2. It was the first drop in the
index since August.

Compared with a year earlier, Midwest output was down 6.4
percent, more than the 1.4-percent national decline.

Midwest resource sector output sank 1 percent on the
month, after rising 1.3 percent in November.

Production in three out of five segments of the resource
sector — food, paper, and minerals — fell in December from
November, while production of wood and chemicals rose.

Compared with a year earlier, the region’s resource output
was up 4.6 percent, less than the 5.8-pct national increase in
resource production.

Midwest auto sector production slipped by 0.2 percent in
November after rising by 0.6 percent in November. Compared with
a year earlier, the region’s automotive output was down 8.8
percent.

Regional steel output rose by 1.3 percent after climbing by
2.5 percent in November.

Machinery sector output grew by 0.6 percent in December
after decreasing 0.5 percent in November.

The Chicago Fed Midwest Manufacturing Index is a monthly
estimate of manufacturing output in the region by major
industries. The survey covers the five states that make up the
seventh Federal Reserve district: Illinois, Indiana, Iowa,
Michigan and Wisconsin.

Following is a breakdown of the index components and
percentage changes compared with previous months:

Dec Nov Dec 09/08
CFMMI -0.3 1.0 -6.4
Auto -0.2 0.6 -8.8
Steel 1.3 2.5 -13.9
Machinery 0.6 -0.5 -15.8
Resources -1.0 1.3 4.6

Index (2002=100)

Dec Nov
CFMMI 84.1 84.4
Auto 56.2 56.3
Steel 72.8 71.9
Machinery 94.8 94.2
Resources 106.1 107.2

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(Reporting by Ann Saphir, Editing by Chizu Nomiyama)
([email protected]; +1-312-408-8592; Reuters
Messaging: [email protected]))

Chicago Fed Midwest factory activity down in December