(2/9/2012) The January ISM-NY Report on Business... in 30 seconds, 60 seconds, or 2 minutes
The ISM-New York Report on Business is released on the second business day of each month at 9:45 AM Eastern. We have been following the ISM reports on business for a while now, helping you apply information from the indexes (which is collected from procurement professionals) to your own work. If you have never read the report, it can take some adjustment. We are going to boil each report down to the basic and most usable components. The most important thing to keep in mind when reading this report is that no one number represents the findings of the report; each piece of data only has value when considered as part of a trend - relative to the month(s) or year before.
The full report is available in the Buyers Meeting Point document library (free registration required) or on ISM New York's site as a download. You can also listen to the overview given by Jim Martin, Director of ISM-New York and ISM's Global Group Chairman in this week's PI Window on Business Blog Talk Radio update.
Note: A reading of 50% means no change from the prior month, greater than 50% indicates a faster pace of activity, and less than 50% a slower rate.
If you only have 30 seconds, here is what you should know about this month’s report:
- Future optimism edged up and stayed above the 2000- 2011 average. The Six-Month Outlook index rose to 64.5 in January from a revised 62.5 in December.
- The purchase volume and jobs picture remained cautious. The Quantity of Purchases index (50.0 in January vs. 48.3 December) has been uneven for five months.
- The Employment index (45.8 January vs. 46.6 December) contracted for the seventh time in the last eight months.
- Price/cost pressures picked up. The Prices Paid index rose to a four-month high of 58.1 in January from 55.4 in December.
If you have 60 seconds, here is a little more:
Business impediments were not widespread. Notable was the decline in working capital shortages; the January level matched November’s 10-month low.
If you have 2 whole minutes to give:
January’s Question of the Month: In your opinion, the New York City region is currently in what type of environment environment for selling prices?
Answer: More upward than downward pressure this January by an 8-to-1 margin
About the ISM New York City Report on Business
The purpose of the survey is to quickly assess business conditions among firms in the New York City area. The survey results are compiled as diffusion indices-the percent of positive responses plus one-half of those responding the same (considered positive). A reading of 50% means no change from the prior month, greater than 50% indicates a faster pace of activity, and less than 50% a slower rate. The Current Business Conditions index, Six-Month Outlook index and NY- BCI are seasonally adjusted. All other measures are not seasonally adjusted. -r is revised.
