MW: Chicago business index at lowest level since 2009
By Jeffry Bartash
WASHINGTON (MarketWatch) - An index that meaures business conditions in the Chicago region fell in May to the lowest level since September 2009. The Chicago Business Barometer dropped 3.5 points to a seasonally adjusted 52.7 in May from 56.2 in April, according to the Chicago Purchasing Managers. While any number above 50 signifies that businesses are still expanding, the Chicago PMI has fallen three straight months. The production index fell 7.1 points, following a 11.5 drop in April. New orders declined 4.5 points to 52.9. The compilers of the report noted that three consecutive declines in the monthly PMI or the three-month rolling average have occurred before each of the last seven recessions, with a lead time of about six to eight months. The rolling average has only fallen two straight months, however.
