New York manufacturing grows in January for 3rd month

Markets Associated Press

Manufacturing in New York state expanded in January for the third straight month, as new orders and shipments grew.

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The Federal Reserve Bank of New York says its manufacturing index slipped slightly to 6.5 in January from 7.6 the previous month. Any reading above zero indicates expansion. A gauge of hiring improved but still shows that factories are cutting jobs. And prices paid for raw materials jumped to the highest level since 2014.

The report adds to evidence that manufacturing in the state is growing modestly, but not fast enough to spur any hiring. The dollar has risen in value since the election, cramping factory goods exports. Still, manufacturing firms in the state are optimistic: A measure of expected business conditions in six months nearly matched December's five-year high.