From the NY Fed:
Business Activity Continues to Pick Up; Inventories Grow
Business activity remained strong in March as the general business conditions index posted its eighth consecutive positive reading. The index, at 22.9, remained close to its February level, with 43 percent of respondents reporting that conditions had improved over the month and 20 percent reporting that conditions had worsened. The new orders index shot up 17 points to 25.4, indicating that the pace at which orders were being placed had quickened significantly over the month. The shipments index advanced 10 points to 25.6, and the unfilled orders index held steady at 4.9. The delivery time index increased to 2.5. The inventories index climbed above zero for the first time in considerably more than a year, reaching 4.9—a sign that inventory levels are now rising slightly for New York State manufacturers.
Employment Expands
Price indexes were little changed from last month. The prices paid index had climbed in December and January, and subsequently hovered around 30. In March, the index was 29.6, with 32 percent of respondents reporting higher prices and just 2 percent reporting lower prices. After rising above zero in January and edging up to 4 in February, the prices received index increased 4 points more to 8.6, with 17 percent of firms reporting higher selling prices and 9 percent reporting lower selling prices. Employment indexes climbed, suggesting that employment is continuing to expand. The index for number of employees advanced 7 points to 12.4, its highest level in more than two years, with 20 percent of respondents indicating that employment levels had risen in March and just 7 percent indicating that employment had fallen. The average workweek index climbed to 12.4.
Let's go to the data:
Note that both the overall index and the new orders index have been positive for at least 8 months in the case of the overall index and the new orders index has been positive for nine -- both extremely healthy developments.
All in all, the IP and New York Fed numbers are very encouraging developments.
