US December Empire Fed +0.2 vs +10.0 expected

• Prior was +31.2

This is quite a drop from 31.2 but that’s looking like it was a big outlier, perhaps related to the election. The good news for the Fed here is that pricing indications are declining the bad news is that new orders are at a six-month low.

Another notable rise is in inventories, which rose at the highest pace since early 2023 while the future measure of inventories is the highest since early 2022; both likely on stockpile building ahead of potential tariffs.

Current Conditions:

Six Month Forward-Looking Indicators:

This article was written by Adam Button at www.forexlive.com.