Chicago Fed Index Posts Slight Decline in October, but Outperforms the Nation
The Chicago Fed’s Midwest Manufacturing Index in October recorded its first monthly decline since March of this year. While October’s decline (-0.4%, s.a.) was far less severe than in March (-2.7%), the cause could largely be traced to a similar source—a strike against an auto company that closed critical parts plants. The impact of that strike can be clearly seen in an 8% decline in auto assemblies in October. With the effects of the strike spilling over into November, the possibility of another manufacturing output decline in November cannot be ruled out.