LONDON (ShareCast) - (Sharecast News) - Manufacturing activity in the Chicago area slowed more sharply than anticipated in June, plumbing a near two-year low.
Market News International's Chicago Purchasing Managers' Index fell from a reading of 60.3 for May to 56.0 in June its lowest print since August 2020.

Economists had forecast a dip to 58.8.

A gauge of new orders weakened the most, by 9.8 points to 49.9, indicating the slightest of contractions.

Similarly, the sub-index for order backlogs dropped by 9.4 points to to a 19-month low of 55.2.

For both the headline index and all subindices, the 50.0 point level marks the threshhold between expansion and contraction with readings above and below that level denoting faster or slower rates of change the further one moved away from it.

Inventory growth also slowed, albeit after rising at its fastest clip for 50 years in May.

A sub-index for prices paid also slipped and was down by 9.0 points to 79.6, its lowest print since February 2021.

In a special question to the region's manufacturers, MNI asked whether they were planning on slowing hiring over the next few months in response to rising employment costs.

A majority of 43.9% answered no.

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