By Ed Frankl
A major index of business activity in the Chicago area climbed in June, ending six straight months of declines, as demand improved.
The Chicago Business Barometer, compiled by MNI Indicators, jumped to 47.4 in June from 35.4 in May, according to a survey published Friday. That was higher than economists' expectations for an increase to 40.0 in a Wall Street Journal poll.
It marks the highest reading since November 2023, though with the barometer still below 50, it indicates that activity is still contracting. A measurement above 50 indicates activity is growing.
The index's increase was driven by rising new orders, MNI said, with the other major subcomponents of the index--order backlogs, production, employment and supplier deliveries--also improving on month.
The gauge of prices paid also fell to its lowest level since June 2023, suggesting some easing of inflationary pressures.
The barometer is compiled through surveys of firms in the Chicago area in order to assess business conditions.
Write to Ed Frankl at edward.frankl@wsj.com
(END) Dow Jones Newswires
06-28-24 1022ET
