Chicago Business Barometer – Declines to 49.7 in June

[transporter]

For those who aren't economists and don't understand economics:

Chicago Business Barometer – Declines to 49.7 in June

The MNI Chicago Business Barometer decreased by 4.5points to 49.7 in June from 54.2 in May, marking the first sub-50 reading since January 2017.

Business confidence dipped significantly in Q2, with the Barometer averaging 52.2, down 13% on the previous quarter and almost 16% lower than Q2 2018.

Demand eased for the fourth time this year, helping push the indicator into the contraction territory for the first time since January 2017. Amid weak demand, firms
also slowed production levels. The Production indicator fell 15.5% on the quarter to hit a three-year low.

For those who don't understand, 50 marks the expansion contraction line. Below is not good. One reading isn't the end of the world. But it is not good either.

This is the second report showing significant drop in firm level (i.e. corporate) confidence.

There was anecdotal evidence of tariffs leading to higher prices, with some firms looking for cheaper alternate sources.

This month’s special question asked firms about the impact of government-imposed tariffs on their business. 80% of firms said that they were negatively impacted, with tariffs raising prices of their goods leading to a pullback in orders.

Paying attention yet?

Understand anything, yet?

Or are you going to just bury your heads in the sand and keep chanting "MAGA"!, "MAGA"! to yourselves?

 

[Gilligan]

I smell desperation..it has a certain stench about it......has Tranny been here?

 

[Yooper]

Understand anything, yet?

Yes. Punctuation isn't your strong suit.

--- End of line (MCP)

 

[Monello]

I think this is on the people actually running Chicago, like the prior mayor.

 

[Rommey]

The trend for the 2017-2019 period looks amazingly similar to the 2011-2013 and 2014-2015 periods. In other words, this index seems to be fairly cyclical and not an aberration

And it's not the first time in the past decade this index has dipped below 50%.