Gold Holds Gains as Empire State Manufacturing Hits Five-Year High

The latest report from the New York Federal Reserve reveals a sector experiencing a marked increase in new orders and shipments, alongside mounting supply chain friction. Delivery times lengthened substantially, and supply availability dropped to -15.1, the lowest reading since June 2022. While industrial output is expanding, inflationary pressures remain a persistent feature of the landscape. The prices paid index registered at 59.5, maintaining levels near a four-year high, while the prices received index climbed to 30.6.

Employment figures remained stable, with the number of employees index holding at 10.3 and a modest increase in the average workweek. However, the outlook among firms has cooled. The index for future business conditions slipped eight points to 21.0, reflecting a moderation in optimism regarding the coming months. While manufacturers still anticipate growth in orders and employment, expectations for further price increases have become more widespread, signaling that the sector continues to grapple with elevated cost pressures.